The Governance, Audit, Risk Management and Standards Committee (GARMS) met to review the council's risk management, treasury management, and audit progress. Key discussions included concerns over the significant delays in external audits for previous financial years, with the committee agreeing to amend the recommendation regarding progress to limited and unsatisfactory.

Quarterly Risks Report (Q1 2024/25)

The committee received an overview of the council's strategic and high-level service risks for the first quarter of the 2024/25 financial year. Discussions highlighted concerns regarding the funding of the Sustainability Programme (Risk STR031), with officers to provide further information on the required funds. Members also noted latent defects identified in the Colindale Office building, with further surveys planned and costs to be reclaimed from the construction company. The committee requested that information be provided on the economic impact of potential interest rate decreases on the Brent Cross Programme and on reports regarding intimidation of traffic wardens. An update was also provided on the Business Continuity Plan, noting that training is in progress. The committee requested that a report be provided on the work of the Adults Social Care Financial Sustainability Board.

Treasury Management Performance Update - Q1 2024/25

David Spreckley, Head of Pensions and Treasury, presented the Q1 2024/25 treasury management performance update. The committee was informed of significant financial pressures on the Capital Financing Cost Centre, with a projected overspend even without further borrowing. Members noted that the Capital Strategy Board is an officer-led group and questioned the lack of member involvement. The committee requested that officers liaise with the Debt Management Board regarding the potential imposition of interest charges on large debtors, such as the NHS. A report detailing the council's liquidity position since 2022, including policies, risks, and the capital programme budget setting, was requested. The committee requested a quantitative assessment of the progress and effectiveness of the strategic priorities outlined in the Q1 report.

2023/24 - Corporate Complaints and Local Government and Social Care Ombudsman (LGSCO) Annual Report

Officers presented the annual report on corporate complaints and LGSCO investigations for 2023/24. Members noted a decrease in the number of complaints received and an improvement in the council's LGSCO upheld rate, which is now below the London average. The LGSCO's annual letter was positive, acknowledging improvements in complaint handling processes and interactions with the Ombudsman. The committee noted and considered the annual letters and the actions taken by the council to remedy issues and improve performance.

Complaints About Councillors April 2023 - March 2024

The Monitoring Officer presented a report detailing complaints received about councillors during the specified period. Six complaints were handled, with outcomes including apologies from councillors, no breach of the code of conduct, or the code not applying as the councillor was not acting in an official capacity. The committee noted the complaints about councillors.

Internal Audit Exception Recommendations Report and Q1 Progress Report 9th May 2024 to 30th June 2024

Clair Green, Executive Director of Assurance and Public Protection, provided an update on internal audit progress. The committee was informed that 36% of the annual internal audit plan had been delivered in Q1, exceeding the target of 25%. No Limited or No Assurance reports were issued. Follow-up work on high and medium priority actions showed that 47% were implemented, 48% were in progress, and 5% were not implemented. The committee noted the general work completed and the work completed to date on schools within the Q1 report. The appointment of Adam Calmonson as the new Head of Internal Audit was also announced.

External Audit 2020/21, 2021/22 and 2022/23

Ciaran McLaughlin from BDO provided an update on the external audits for these years. The committee expressed dismay at the significant delays and lack of progress, particularly concerning the 2020/21 audit. Concerns were raised about the nature of outstanding queries, including requests for basic information such as bank sort codes and audit committee minutes. Mr McLaughlin confirmed that all audits would be completed by the 13 December 2024 backstop date, but acknowledged that disclaimed or qualified opinions were likely due to the time constraints and outstanding issues, including a pension fund transaction requiring legal advice. Councillor Ella Rose moved an amendment to the recommendation, which was unanimously agreed, to note the limited and unsatisfactory progress towards the sign-off of the Council's 2020/21 Statement of Accounts and the updates on the 2021/22 and 2022/23 audits.

2023/24 External Audit Progress Report

Paul Dossett from Grant Thornton presented an update on the 2023/24 external audit. Fieldwork was ongoing, with key outstanding elements and interim findings detailed. The committee noted the audit progress and sector update, and noted the comments of the Committee on this matter. The backstop date for the 2023/24 audit was noted as February 2025.

Committee Forward Work Programme

The committee discussed items for their forward work programme. A quantitative assessment of the Treasury Team's strategic priorities was requested, along with a report on how Treasury Management pressures are considered in Capital Programme decision-making. A report from the Adult Financial Sustainability Board on implemented improvement processes and statistics was also requested. The Chair advised that the meeting dates for the 2025 Municipal Year would be rescheduled and the committee would be canvassed about their availability.

The meeting concluded with the Chair declaring no urgent items.