The Audit Committee of Durham County Council was scheduled to discuss a range of important governance, risk management, and financial matters. Key topics included the Looked After Children's Sufficiency Strategy, performance reports on health, safety, and wellbeing, and updates on strategic risk management. The committee was also set to review and approve the Risk Management Policy and Strategy, internal audit progress, and changes to accounting policies for the upcoming financial year. Additionally, discussions were planned on the council's Counter Fraud and Corruption Strategy, Fraud Response Plan, Anti-Money Laundering Policy, and Confidential Reporting Code, alongside the draft Internal Audit Plan for the following year and the Corporate Governance Review and Final Accounts Timetable.

Looked After Children's Sufficiency Strategy

The committee was scheduled to receive a presentation on the Looked After Children's Sufficiency Strategy. This strategy is designed to ensure that Durham County Council fulfils its duty, as outlined in the Children Act 1989, to secure sufficient accommodation for children in their care. The presentation was expected to cover the national context of increasing sufficiency pressures, the council's approach to 'corporate parenting' under the rebranded Durham Family initiative, and local trends in children in care rates. It was also intended to detail the financial impact of these pressures and updates on the Durham Cares Approach Programme, including identified risks and case studies demonstrating improved outcomes and cost avoidance.

Health, Safety and Wellbeing Performance Report Quarter 3 2025-2026

A report was scheduled to provide an update on the council's Health, Safety and Wellbeing performance for the third quarter of the 2025-2026 financial year. This included statistics on accidents, incidents, and near misses, as well as details of any RIDDOR-specified injuries and incidents causing over-seven-day absences. The report was also expected to cover fire-related incidents, the outcomes of health and safety audits and inspections, and interventions by the Health and Safety Executive (HSE). Specific areas of focus included issues related to cladding rectification at Durham bus station, open water safety, and employee health and wellbeing initiatives. Premises security measures and the management of violence and aggression were also on the agenda.

Strategic Risk Management Progress Report

The committee was due to review the Strategic Risk Management Progress Report for the period of October to December 2025. This report highlights the strategic risks facing the council and provides an insight into the work undertaken by the Corporate Risk Management Group. The report was expected to detail any risks that had been closed, new emerging risks added to the register, and any risks that had been uprated or downrated. Updates on the management of key risks, including those related to government funding, health and social care reforms, and children's services, were also scheduled.

Risk Management Policy and Strategy

A report was presented seeking approval for the updated Local Code of Corporate Governance. Following an annual review, the updated code was to be recommended for adoption by the full council. The report was expected to detail any changes made to the policy and strategy, ensuring alignment with guidance from CIPFA, HM Treasury's Orange Book, and the Council's Financial Management Standard.

Internal Audit Progress Report

The committee was scheduled to receive an update on the work undertaken by Internal Audit for the period ending December 2025. This report was intended to provide assurance on internal controls, highlight areas where controls need improvement, and advise on any amendments to the Internal Audit Plan. It would also track the progress of responses to audit reports and the implementation of agreed recommendations, as well as provide an update on performance against key performance indicators.

Changes to the Code of Practice for Local Authority Accounting and Accounting Policies

The committee was to be presented with a summary of key accounting changes in the latest edition of the Code of Practice for Local Authority Accounting in the UK, which would apply to the 2025-26 Statement of Accounts. The report was also to provide an update on the council's accounting policies and seek approval for their use in the preparation of the 2025-26 Statement of Financial Accounts. A significant change noted was in the revaluation of property, plant, and equipment, requiring valuations every five years with annual indexation.

Corporate Governance Review and Final Accounts Timetable

This report was scheduled to provide information on the Final Accounts timetable for 2025-26, detailing target dates for completing the Statement of Accounts in line with statutory deadlines. It would also include key dates for the corporate governance review for the same financial year, linking into the final accounts timetable to ensure statutory deadlines are met. The report was expected to highlight the responsibilities of the Responsible Finance Officer and the Audit Committee regarding the certification and approval of the unaudited and audited accounts, respectively.

Counter Fraud and Corruption Strategy

The committee was to be informed about the council's Counter Fraud and Corruption Strategy for 2026-2030. While no major changes were made to the existing strategy, the foreword was updated to reflect the ambitions of the new administration. The strategy focuses on five pillars of activity: 'acknowledge', 'govern', 'prevent', 'pursue', and 'protect', outlining how these are embedded to create a robust counter fraud response and culture. A refreshed communications campaign was planned to follow approval of the strategy.

Corporate Fraud Response Plan and Sanctions Policy

This report presented a revised Fraud Response Plan and Corporate Fraud Sanction Policy. These are live annexes to the Council's Counter Fraud and Corruption Strategy, defining how the council responds to allegations and confirmed cases of fraud. The updated plan aimed to provide clearer guidance on reporting suspicions and outlined the decision-making process, forms of sanction (disciplinary, civil, criminal proceedings, administrative penalties, cautions, and warning letters), recovery of losses, partnerships, recording of sanctions, and publicity.

Anti-Money Laundering Policy

The committee was to be reminded of the internal procedures for preventing the use of council services for money laundering. The Anti-Money Laundering Policy, a live annex to the Counter Fraud and Corruption Strategy, explains money laundering, the legal and regulatory framework, and the processes the council has in place to comply with requirements. While the 2025 updates to the Money Laundering Regulations were not directly applicable to local authorities, the council's existing procedures were deemed compliant and effective.

Confidential Reporting Code (Whistleblowing)

This report presented the Confidential Reporting Code, also known as the Whistleblowing Policy. It aims to remind members of how employees can confidentially express concerns about procedures, processes, or individuals. The code is designed to protect those who make qualifying disclosures in the public interest, covering criminal offences, failure to comply with legal obligations, miscarriages of justice, health and safety risks, sexual harassment, environmental damage, and the covering up of wrongdoing.

Draft Internal Audit Plan 2026-2027

The committee was to be presented with the draft Internal Audit Plan for the period of April 2026 to March 2027. This report detailed the basis of the plan, the approach taken to its development, and its key characteristics, including the scale and pace of change, the structure, content, and scale of the plan. The draft plan was presented for consultation and comment before its formal approval at the subsequent Audit Committee meeting.