The Audit Committee of Ealing Council reviewed the draft internal audit plan for 2026/27 and received an update on the council's risk management arrangements. The committee also noted the progress of the Internal Audit and Investigation team during the fourth quarter of the financial year.

Internal Audit Plan 2026/27

The Audit Committee was presented with the draft internal audit plan for the upcoming financial year, 2026/27. This plan outlines the proposed audits and reviews to be undertaken by the internal audit service. The approach for the upcoming year will be more agile, focusing on delivering a set number of high-impact reviews while remaining responsive to emerging risks and organisational priorities. The plan includes a mix of high, fundamental, and advisory risk-rated projects, covering areas such as company monitoring, procurement, key financial systems, ICT, housing, and various service-specific audits. The committee was asked to review and approve this draft plan.

Quarter 4 Internal Audit and Investigation Update

Mike Pinder, Assistant Director of Audit and Investigations, presented an update on the performance of the Internal Audit and Investigation team for the financial year 2025/26. The Chief Audit Executive's conclusion was that the council's governance, risk management, and internal control arrangements are effective and support the delivery of statutory duties and strategic priorities. While the majority of systems and processes are operating as intended, some areas, particularly in Health and Safety and Housing services, showed non-compliance with control processes that could put objectives at risk. Action plans have been agreed with service leads to address these issues.

The report detailed the progress against the 2025/26 internal audit plan, with 82% of reports issued by the end of the financial year. Follow-up work on high-risk recommendations indicated that while progress has been made, some actions remain outstanding, with revised implementation dates provided.

The Investigations team reported proven cases of economic crime totalling £1.44 million in notional savings and actual losses. Proactive work through the National Fraud Initiative (NFI) has identified savings of £795,000, with further work ongoing through the NFI fraud hub. Enhanced vetting processes for new recruits have also identified and prevented cases of fraud, with 35 cases failing or being prevented, representing 6% of all cases reviewed.

The committee was asked to note the performance of the Internal Audit and Investigation team and key issues arising during quarter 4, note the Chief Audit Executive's conclusion for 2025/26, and approve the Anti-Money Laundering Policy and the Fraud Risk and Anti-Fraud Proactive plan.

Quarter 4 Risk Management Update

The committee received an update on the council's strategic risks. The number of risks remained at 13, with only minor changes to mitigations and no changes to risk scores since the previous quarter. The report highlighted key risks, including financial resilience due to demand and market pressures in social care and temporary accommodation, and the risk of resident harm due to non-compliance with health and safety and building safety regulations. The committee was asked to note the progress on the Strategic Risk Register and Heat Map, and to note the risk management policy, recommending it to Cabinet for approval.

The meeting concluded with the committee noting the progress on the Strategic Risk Register and Heat Map, and noting the risk management policy for recommendation to Cabinet for approval.