The Audit and Performance Committee is scheduled to meet to review the council's financial activities, performance and risk management. The committee will discuss the year-end financial position, including revenue and capital outturn, and review the treasury management strategy. Also on the agenda is the annual report of the Audit and Performance Committee, and the Head of Internal Audit's opinion on the council's governance.

Here's a closer look at the key items:

• The committee will receive the 2024/25 Revenue and Capital Outturn report. The General Fund revenue outturn shows an overspend of £13.627m, which will be offset using an earmarked reserve. The HRA outturn is a deficit of £4.1m, which HRA balances will offset. The report details expenditure variances across council services, including overspends in Housing and Commercial Partnerships due to temporary accommodation costs, and in Children's Services. It also covers savings against the Medium-Term Financial Plan, and movements from the quarter 3 position. The general fund capital outturn is a gross in year expenditure underspend of £88.828m against a revised budget of £311.485m. The HRA capital outturn has an in-year expenditure underspend of £52.265m against a budget of £225.128m.

• The Treasury Management Strategy Outturn 2024/25 will be presented. The report includes a review of the council's investment portfolio and borrowing strategy, as well as compliance with treasury and prudential limits. As at 31 March 2025, net cash invested was -£109.3m, a decrease of £286.4m on the position at 31 March 2024. The council's budgeted investment return for 2024/25 was £41.483m, and performance for the year is £49.706m, resulting in £8.206m above budget. At £572.7m, the council's borrowing at 31 March 2025 was within the Prudential Indicator for external borrowing.

• The committee will review the draft 2024/25 Statement of Accounts. These accounts report a net asset position of £3.208bn, with a movement of -£89m in comparison to the prior year. The statement includes the Comprehensive Income and Expenditure Statement, Balance Sheet, Cashflow Statement and Movement in Reserves Statement. The public inspection period began on 25 June and is due to end on 5 August 2025.

• The External Auditor's Audit Plan - Pension Fund will be presented to the committee. The plan identifies significant risks, including management override of controls and the valuation of level 3 investments¹. Planning materiality has been determined to be £35m for the Pension Fund. ¹: Level 3 assets are those that are not quoted on an active market and whose fair value is determined using unobservable inputs.

• The Internal Audit Annual Report will be presented. The report summarises the work of Internal Audit in 2024/25, and provides the Head of Internal Audit's opinion on the adequacy and effectiveness of the council's governance, risk management and control environment. From the Internal Audit work undertaken in the financial year 2024/25, reasonable assurance can be provided that systems of internal control in place are effective with the majority of the finalised audit work receiving a positive assurance opinion.

• The committee will receive the Counter Fraud 2024/25 End of Year report. For the period 1 April 2024 to 31 March 2025, the Corporate Anti-Fraud Service (CAFS) identified 179 positive outcomes. The fraud identified has a notational value of over £1,000,000.

• The Annual Report of the Audit and Performance Committee will be presented. The report summarises the work of the Audit and Performance Committee over the municipal year 2024/25. The report will then be forwarded to Full Council for information.

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