The Audit, Governance and Standards Committee of Kingston upon Thames Council met on Wednesday 28 February 2024 to review the council's financial position and governance arrangements. The meeting's agenda included an update on the accounts and audit process, and proposals for the appointment of new independent members to the committee.

Accounts and Audit Update

The committee was scheduled to receive the Interim Auditor's Annual Report for the Royal Borough of Kingston Upon Thames for the 2022/23 financial year, produced by external auditors Grant Thornton. This report was expected to comment on the council's arrangements for ensuring economy, efficiency, and effectiveness in its use of resources. The report was anticipated to conclude that no significant weaknesses had been identified, though it would highlight a more challenging outlook for the council's financial sustainability in future years and make two improvement recommendations.

The meeting was also to receive an update on the progress of the audit for the 2021/22 and 2022/23 financial years. The audit of the 2021/22 accounts was substantially complete, with final work to conclude the audit still outstanding. The audit for 2022/23 was ongoing, with findings to be communicated in a later Audit Findings Report. The external auditors, Grant Thornton, intended to complete both audits by the end of March 2024, a timeline that, while later than desired, would still place Kingston ahead of many other local authorities facing audit delays. A consultation on clearing the backlog of local authority audits, proposing a backstop date of 30 September 2024 for audit opinions on 2022/23 accounts, was also noted.

The Interim Auditor's Annual Report highlighted two key improvement recommendations. The first concerned the need for quarterly corporate key performance indicator reporting to the Corporate and Resources Committee, including benchmarking and analysis of underperformance. The second recommendation was for a governance audit of the Cambridge Road Estate arrangements with Countryside Properties to be undertaken at the earliest opportunity.

Independent Member of the Audit, Governance & Standards Committee

The committee was scheduled to consider proposals for the appointment of new Independent Members to the Audit, Governance & Standards Committee. Historically, the committee has included one non-elected, non-voting Independent Member to bring specialist knowledge and insight. It was proposed to increase this to two Independent Members, aligning with CIPFA best practice guidance. This change would require an amendment to the council's constitutional arrangements, needing approval from the full Council. The role profile for the Independent Member was to be agreed, and recruitment was planned to commence following the February Council meeting. Shortlisted candidates would be assessed by the Chair of the Committee, the Monitoring Officer, and the S151 Officer. Independent Members receive an annual allowance of £608.

The role of an Independent Member involves considering reports from external and internal auditors, monitoring risk management policies, reviewing the council's arrangements to protect against fraud and corruption, and reviewing the Annual Governance Statement and Treasury Management Policy. The Audit, Governance and Standards Committee typically meets four times a year, with meetings held at the Guildhall, Kingston upon Thames.