The Governance Committee of Havant Council convened on Tuesday, 11 June 2024, to discuss several key issues, including the approval of the Annual Governance Statement, updates on the External Audit Plan, and the introduction of new legislation affecting local government audits. The committee approved the Internal Audit Plan for 2024-25 and the Internal Audit Charter for 2024-25.

Annual Governance Statement 2023/24

Councillor Bowdell, the Finance Cabinet Lead, introduced the Annual Governance Statement for 2023/24. The statement outlines the council's governance framework and its effectiveness. Councillors asked for clarifications, particularly about the membership of the Corporate Governance Board, which will be added to the report for clarity. The term contract amnesty was explained as a requirement for officers to update the contract register with any new contracts. The committee approved the Draft Annual Governance Statement for 2023/24.

External Audit Plan - Verbal Update

External Auditors from Ernst & Young provided a verbal update on the External Audit Plan. They noted that final amendments to the 2021/22 accounts were still in progress and would be presented at the next Audit and Finance Committee meeting. The 2022/23 reports showed no significant risks, and the auditors were satisfied with the management arrangements. New legislation anticipated for 30 September 2024 will introduce a stop date for incomplete audits, which will then receive a report disclaimer. This is part of a national strategy by the Financial Reporting Council and the Department for Levelling Up, Housing and Communities to clear the backlog of incomplete local government audits. A five-year recovery process will follow to return to the usual audit cycle.

Internal Audit Progress Report 2023-24

The Internal Auditors presented the Internal Audit Progress Report 2023-24, noting that the plan is on track to be completed by the end of April. Outstanding actions are under review by the Executive Leadership Team and will be updated monthly. The committee noted the progress report.

Internal Audit Plan 2024-25

The committee discussed the Internal Audit Plan for 2024-25, which was presented without any questions or debate. The plan was approved by the committee.

Internal Audit Charter

The Internal Auditors introduced the Internal Audit Charter for 2024-25, which outlines the independence and objectivity of the auditors. The Public Sector and Internal Audit standards have remained unchanged since 2017, but the charter requires annual approval. The committee approved the charter for the forthcoming audit year.