The Audit and Standards Committee is scheduled to meet on Tuesday 28 July 2026 to review a range of important financial and governance reports. Key discussions are expected to focus on the council's internal audit performance, procurement practices, and the overall governance framework, alongside a strategy for regaining audit assurance.

Annual Report on Procurement Exemptions 2025/26

The committee is scheduled to receive a report from the Head of Welland Procurement regarding procurement exemptions for the 2025/26 financial year. This report is intended to inform members about procurements that did not follow a standard competitive procedure, as recommended by external auditors. The report will detail approved exemptions, the reasons behind them, and their financial value, ensuring transparency in how council funds are spent. The Contract Procedure Rules¹ of Melton Borough Council² outline the criteria and process for such exemptions.

Internal Audit Annual Report and Fraud Log 2025/26

A comprehensive report from the Chief Internal Auditor is scheduled for discussion, covering the Internal Audit Annual Report and Fraud Log for 2025/26. This report is crucial for informing the Council's Annual Governance Statement³ and providing the committee with assurance regarding the council's governance, risk management, and control framework. The report is expected to detail the overall assurance opinion for the year, findings from various audits, and the implementation status of agreed management actions.

Draft Annual Governance Statement 2025/26

The Monitoring Officer, Clive Tobin, is scheduled to present an update on the draft Annual Governance Statement (AGS) for 2025/26. This statement, required by the Accounts and Audit Regulations 2015⁴, reviews the effectiveness of the council's system of internal control and governance arrangements. The report will outline the process for preparing the AGS, the sources of assurance used, and any identified areas for improvement, which will form an action plan for the coming year. The council's commitment to good governance is underpinned by the CIPFA/SOLACE Delivering Good Governance in Local Government Framework⁵.

Internal Audit Progress Report

The Chief Internal Auditor will provide an update on the delivery of the Internal Audit Plan for 2026/27. This report will detail the progress made on planned audits, the outcomes of finalised reviews, and the status of implementing agreed audit recommendations. It will also highlight any emerging issues that may impact the council's control framework.

Provision of Internal Audit Services

A proposal from the Director for Corporate Services, Dawn Garton, is scheduled for consideration regarding the extension of the current internal audit delegation agreement. The current agreement with North Northamptonshire Council is due to end on 31 March 2027. The report recommends a two-year extension to this agreement, taking it to 31 March 2029, to ensure the continuation of a high-performing and cost-effective internal audit service. The proposal also includes a recommendation for the council to delegate its internal audit function to North Northamptonshire Council.

Regaining Assurance Strategy

Grant Thornton, the external auditor, is scheduled to present a report on the Regaining Assurance Strategy for Melton Borough Council. This report is particularly significant given the disclaimed audit opinions issued for previous financial years. The strategy outlines a plan to rebuild audit assurance over the council's financial statements, detailing the expected trajectory for achieving an unmodified audit opinion by 2027/28. It will cover the build-back work programme for key audit areas such as reserves, property assets, and pensions, and will include an assessment of the council's capacity to support this process.