The Audit Committee of Haringey Council is scheduled to convene on Thursday, 29 January 2026. The meeting's agenda includes a review of the council's financial assessments and adult social care income collection, alongside the external auditors' annual report on the 2024/25 statement of accounts. Further discussions are planned on the draft Treasury Management Strategy Statement for 2026/27 and a progress report on treasury management activities for the second quarter of 2025/26.

The committee will also receive updates on internal audit progress, anti-fraud, bribery, and corruption activities for the third quarter of 2025/26. Additionally, the meeting will cover an update on the 2024/25 Annual Governance Statement, focusing on progress made in addressing significant governance issues. Finally, the council's Corporate Risk Register will be reviewed to ensure appropriate mitigating actions are being completed in a timely manner.

Financial Assessments Audit – Update & Adult Social Care Income Collection

The committee is scheduled to receive an update on the progress made in addressing recommendations from the Internal Audit Review of Financial Assessments (FA) of Clients. This review, which concluded with a Limited Assurance opinion in December 2024, identified areas such as inconsistent identification and follow-up of unpaid invoices, limited reporting of financial assessment performance, and system and data quality limitations. The report will also detail the current position regarding Adult Social Care (ASC) income collection and debt recovery, noting that outstanding debt had increased to £15.5 million by the end of December 2025. The report highlights that 13 out of 23 recommendations are complete, with 10 still in progress, largely due to dependencies on system configuration and data cleansing. Priority actions include the proposed introduction of Variable Direct Debit and the finalisation of the end-to-end Financial Assessment and Debt Statement of Practice.

2024/25 Statement of Accounts – External Auditors Annual Report

KPMG, the council's external auditors, will present their statutory Annual Report. This report outlines their findings from the audit of the council's statutory accounts, value for money arrangements, and other relevant information. The report indicates that KPMG will issue a disclaimer of opinion on the council's financial statements by 27 February 2026 due to an inability to obtain sufficient appropriate audit evidence. This is due to the statutory backstop date and the need to perform further procedures to rebuild assurance. The report also highlights significant weaknesses in the council's arrangements for securing economy, efficiency, and effectiveness in its use of resources, with specific concerns raised regarding financial sustainability and the identification and monitoring of cost-saving schemes.

Draft Treasury Management Strategy Statement 2026/27

This report presents the updated Treasury Management Strategy Statement (TMSS) for 2026/27. The strategy is guided by the Chartered Institute of Public Finance and Accountancy's (CIPFA) Treasury Management Code of Practice and the Local Government Act 2003. The economic background suggests lower short-term interest rates alongside higher medium and longer-term rates, with ongoing uncertainties around the global economy and geopolitical issues. The council's borrowing requirement is driven by its capital plans and potential Exceptional Financial Support (EFS) from the government, with a projected borrowing requirement of £415 million for 2026/27. The strategy aims to balance risk and return for investments, prioritising security and liquidity, and will consider Environmental, Social, and Governance (ESG) factors.

Treasury Management Qtr2 Report 2025/26

This report provides an update on the council's treasury management activities and performance for the six months ending 30 September 2025. It confirms that all treasury activities undertaken during the period were in line with the approved Treasury Management Strategy. The report details borrowing activity, noting an increase in loans to £1,043.8 million, and treasury investment activity, with balances ranging between £13.6 million and £98.5 million. The council's performance is benchmarked against similar local authorities, showing a comparable credit score and bail-in exposure. All treasury management activities complied with the CIPFA Code of Practice and the Council's approved Treasury Management Strategy, with the exception of PFI balances and finance leases which have increased due to IFRS16 reporting changes.

Internal Audit Progress Report

This report details the work undertaken by Internal Audit between 1 September and 31 December 2025, focusing on progress against the approved internal audit plan. Forvis Mazars, the external provider, delivered 332 days of audit work during this period. The report highlights two areas assigned a Limited level of assurance: Managing Housing Benefit Overpayments and Management and use of Contract Waivers. For Housing Benefit Overpayments, the audit noted a lack of clear prioritisation of debt levels and a failure to meet the target Housing Benefit Overpayment balance. For Contract Waivers, findings included inconsistencies in application, weaknesses in approval governance, and gaps in data entry. Fire Risk Assessments and Sickness Absence Management received Adequate assurance.

Anti-Fraud, Bribery and Corruption Progress Report Quarter Three 2025/26

This report provides a third-quarter update on the work of the in-house Audit and Risk team concerning anti-fraud, bribery, and corruption. The team's work is driven by the council's Anti-Fraud, Bribery & Corruption Strategy. Proactive work is ongoing in areas such as Temporary Accommodation, the National Fraud Initiative (NFI), and Procurement. The report notes a high incidence of fraudulent payments of Penalty Charge Notices (PCNs) and ongoing investigations into employee fraud. The team also continues to monitor the threat of squatting and the use of death list information. Performance measures for tenancy fraud and Right to Buy fraud are reported, showing a return to pre-COVID levels of performance.

Annual Governance Statement 2024/25 Update Report

This report provides an update on the progress made in addressing significant governance issues identified in the 2024/25 Annual Governance Statement (AGS). Six significant issues were identified relating to Finance, Commercial Property, Statutory Compliance in Housing, Contracts and Procurement, Information Governance, and Workforce Strategy. The report indicates that progress is being made on these issues, with many actions either complete or in progress. For instance, the Housing Improvement Programme has shown significant progress, leading to the lifting of a Regulatory Notice by the Regulator of Social Housing. The council's financial position remains challenging, with ongoing efforts to reduce reliance on Exceptional Financial Support (EFS) and improve savings delivery.

Risk Management Updated - Corporate Risk Register

The committee is asked to note the Council's Corporate Risk Register as at 30 November 2025. The report highlights the most significant Red risks, including the challenge of reducing reliance on Exceptional Financial Support (EFS) and the potential increase in the North London Waste Authority (NLWA) levy. New risks related to Building Control staffing shortages and the UK Emissions Trading Scheme have been added. Amber risks of significant concern include a serious cyber security incident, inadequate processes for safeguarding vulnerable individuals, and election risks. The report also notes that the risk related to health and safety incidents remains unchanged, while the risk of failure to meet housing standards has slightly reduced. The impact of significant external economic factors on service delivery is identified as an area requiring updating.