The Audit, Finance & Performance Committee of Hillingdon Council met on Tuesday 9 June 2026 to review updates on external audit processes, the Governance Review Improvement Plan, and the Cabinet's Forward Plan. The committee was also scheduled to discuss the council's work programme.

External Audit Update: Process for Auditing the 2024/25 Accounts Main Accounts and Pension Fund Accounts

The committee was scheduled to receive an update on the process for auditing the 2024/25 Council and Pension Fund Accounts. This included noting the draft plans for these audits. The report highlighted the ongoing challenges within local government audits, with a significant number of councils receiving Disclaimer Opinions due to time constraints. The council itself had received Disclaimer Opinions for the past three years, while the Pension Fund had maintained unqualified audits. The Ministry of Housing, Communities and Local Government has announced measures to address the backlog, including proposed backstop dates for the publication of audited accounts. The audit for the 2025/26 financial year was planned to be completed by mid-November, with the draft Audit Report to be issued by 30 November 2026. Key risks to be assessed included the presumptive risk of management override of controls, risks of fraud in revenue and expenditure recognition, and the valuation of assets such as land, buildings, and pension liabilities. The audit fees for 2025/26 were also noted, with an increase for the Council audit and a smaller increase for the Pension Fund audit compared to the previous year.

Governance Review Improvement Plan Update

An update was provided on the Governance Review Improvement Plan (GRIP), which is the council's strategic response to identified governance areas needing improvement. The GRIP aims to strengthen internal controls, clarify decision-making processes, and enhance accountability. The plan is structured around three workstreams: financial governance, directorate governance, and constitutional/democratic governance.

Under Financial Governance, the Finance Modernisation Programme (FMP) is a significant initiative to strengthen financial systems, processes, and structures. Progress since the last meeting included the continuation of spend control measures, engagement with the Department for Levelling Up, Housing and Communities (DLUHC) regarding Exceptional Financial Support (EFS), and progress on the closure of the 2025/26 accounts. The updated Oracle EPM solution for monitoring finances was in implementation and testing. The council was also expecting to recoup 90% of its Dedicated Schools Grant (DSG) deficit. Updates to Oracle functionality, including revised procurement use and improved controls for capital spending, were also noted. Quarterly balance sheet reviews were set to commence at the end of June. The Monitoring Officer had concluded that the council had met the statutory requirement for setting its budget for 2025/26, but recommended commencing the budget-setting exercise earlier in future years.

In Directorate Governance, all recommendations from previous reviews were reported as implemented, with the regular review of Directorate plans being an ongoing requirement. A new balanced scorecard approach for 2026/27 had been agreed by the Corporate Management Team (CMT).

Under Constitutional Governance, a range of constitutional changes had been approved at the Council's Annual General Meeting, with further minor updates made under delegated powers. A report reviewing procurement standing orders was being prepared for the July Council meeting.

Forward Plan

The committee was scheduled to consider the Cabinet's latest Forward Plan. This document outlines key decisions and other decisions to be taken by the Cabinet collectively and individual Cabinet Members over the coming year. The committee's role was to monitor this plan and, where deemed necessary, provide comments to the decision-makers on items within its remit. The Forward Plan is published monthly and serves as public notice of future key decisions. The committee could engage in pre-decision scrutiny by providing comments on future reports, requesting further information, or asking to review draft reports where feasible. Post-decision scrutiny was also an option, allowing the committee to monitor the implementation of decisions.

Work Programme

The committee was asked to review its planned meeting dates and work programme. Forthcoming meeting dates were listed, along with the agenda items scheduled for each meeting. The committee had the opportunity to agree any amendments to the work programme. The agenda for the current meeting included discussions on the recruitment of an Independent Chair, updates on the Governance Review Improvement Plan and External Audit, and the Forward Plan and Work Programme itself.