The Audit and Governance Committee of West Oxfordshire Council met on Thursday 19 March 2026 to review the council's financial procedures, audit plans, and governance arrangements. Key decisions included the approval of revised Financial Procedure Rules and the Internal Audit Plan for 2026/27.

Finance and Procedure Rules

The committee approved the revised Financial Procedure Rules (FPRs) for March 2026. These rules, last reviewed in 2015, have been updated to reflect organisational changes, including the Publica transition phases, and to ensure they remain fit for purpose ahead of Local Government Reorganisation (LGR) in April 2028. Members found the revised rules to be clear and easy to understand. Discussions touched upon how departmental heads ensure officers are aware of their responsibilities under the FPRs, with officers explaining that policies are shared at management team meetings and included in induction processes for new employees with budget responsibilities. Queries were also raised regarding the threshold for virements requiring Full Council approval (£150,000) and the bandings for ex-gratia payments, which were noted to be consistent with other financial regulations.

Quarter 3 Treasury Management Performance

The committee noted the Quarter 3 Treasury Management performance report, which indicated a largely consistent and positive outcome compared to Quarter 2, particularly in terms of interest earned and the capital value of pooled funds. Georgina Dyer, Head of Finance, presented the report, highlighting that while performance had been strong, future outcomes remained subject to global events such as the conflict in Iran and energy market volatility. Interest rates had not fallen as previously anticipated, with market speculation suggesting rates could reach four and a half percent by the end of the year. Members queried the potential sale of CCLA, but officers were unaware of any such developments, noting that fund ownership changes typically do not impact the funds themselves.

Counter Fraud Update Report

Emma Cathcart, Assistant Director of the Counter Fraud and Enforcement Unit (CFEU), presented the annual update on counter fraud activities, including updates on the Regulation of Investigatory Powers Act 2000 (RIPA) and the Investigatory Powers Act 2016 (IPA). The focus for 2026/27 will be on raising awareness of fraud through tailored workstreams for staff, managers, members, and residents, aiming to make the topic more relatable and to prioritise prevention over detection. A key development highlighted was the Economic Crime and Corporate Transparency Act, which introduces a failure to prevent fraud offence, meaning the council could be investigated for failing to have robust fraud prevention procedures. The report also confirmed the closure of the Business Grants scheme, with outstanding debts transferred to Central Government for recovery. The committee noted the ongoing work with the National Fraud Initiative, including reviews of housing waiting lists to ensure accuracy and prevent temporary accommodation cost increases.

Internal Audit Progress Report

Lucy Cater, Head of Internal Audit and Assistant Director at SWAP Internal Audit Services, presented the progress report, summarising audit work concluded since the last meeting. Three audit reports were included, covering Council Tax and NDR, Housing Benefit, and continuous testing of accounts payable. The report indicated that the Quarter 2 accounts payable review showed improvement. One outstanding agreed action concerning Section 106 agreements had been closed, leaving ten open actions. Members queried the composition of the Senior Leadership Team, which was confirmed to include the Chief Executive, Director of Governance and Regulatory Services, Director of Finance, and Director of Place.

Internal Audit Plan 2026/27

The committee approved the proposed Internal Audit Plan for 2026/27, along with the Internal Audit Charter and Mandate for the same period. Lucy Cater explained that the plan had been designed with a more agile, risk-based approach to accommodate the changing risk profile of the organisation, particularly in light of Local Government Reorganisation (LGR). The plan now links to the Council's priorities and risk register, which will aid future reporting. The Internal Audit Charter and Mandate outlines the function's authority to provide assurance, advice, insight, and foresight to the committee and senior management.

Annual Governance Statement Action Plan for 2025/26 Update

Cheryl Sloan, Assistant Director for Workforce Strategy & Transformation, provided an update on the Annual Governance Statement (AGS) Action Plan for 2025/26. The majority of actions had been completed, with Business Continuity Plans (BCPs) and WODC-specific policies being carried over to the 2026/27 plan. Good progress had been made on BCPs, with a new business impact assessment tool being rolled out and training provided to managers. The committee discussed whether BCPs were taking into account LGR, with officers confirming that the impact of LGR was not currently built into the plans. The review and update of WODC-specific policies were also discussed, with an aim to have all necessary policies in place and up-to-date by the end of the financial year.

Provisional Member Induction and Training Programme

Ana Prelici, Senior Democratic Services Officer, presented an update on member learning and development activities for 2025/26 and feedback on the proposed induction programme for 2026/27. While learning and development sessions and member briefings had generally been well-attended, there had been a noticeable drop in attendance for briefings after the summer. The survey feedback indicated a split in preferred days and times for sessions, suggesting a need for flexibility. Take-up of the iHASCO e-learning platform remained very low, with many members unaware of its availability. The committee was encouraged to provide feedback on the induction programme and how to better engage members in learning and development opportunities.

Audit and Governance Committee Annual Council Report

Andrea McCaskie, Director of Governance and Regulatory Services, presented a draft report on the activities of the Audit and Governance Committee for the municipal year 2025/26. This report, intended for presentation to Full Council, summarises the committee's work across finance, internal audit, external audit, risk management, corporate governance, and counter fraud. The committee approved the draft report and delegated authority to the Director of Governance and the Chair to make final amendments, including incorporating details from the current meeting, before its presentation to Full Council on 20 May 2026.

Audit and Governance Committee Work Programme

Democratic Services advised that the committee's work plan for 2026/27 would be presented at the next meeting.