Here is a summary of the scheduled discussions for the Hounslow Council Audit and Governance Committee meeting on 15 July 2025.

The meeting included consideration of risk management, treasury management, and governance, with a focus on the annual statement of accounts, internal audit performance, and plans for the coming year. Councillors were also scheduled to discuss the appointment of independent members to the Audit and Governance Committee.

Here's a more detailed look at the topics:

Risk Management

The committee was scheduled to review the Corporate Risk Register (CRR) and a refreshed Risk Management Framework. Sarah Filby, Director of Strategy, Performance and Commissioning, and Vinesh Govind, Head of Performance and Information, were expected to present the report.

Key points included:

• Noting amendments to the CRR, including a new risk CAS0008, concerning school deficit budgets and their potential impact on the Dedicated Schools Grant[^2] (DSG) and the Safety Valve agreement. [^2]: The Dedicated Schools Grant (DSG) is the primary source of funding for maintained schools and academies.
• A split of the risk Safeguarding residents from serious crime, criminal exploitation, radicalisation and extremism (C&S0001) into two separate risks: Terrorist Threat Places, Locations and People (C&S0001A) and Addressing feelings of safety (C&S0001B).
• Commenting on the draft refreshed Risk Management Framework, which aims to embed risk management in decision-making, increase engagement beyond the Corporate Leadership Team (CLT), and improve organisational culture around risk.
• Reviewing an action plan to implement changes to the Risk Management Framework.

The report pack included a draft of the updated Risk Management Framework, which stated that:

Risk management supports our ambition to be an outstanding Council serving an outstanding borough. It is at the heart of good management and corporate governance. Risk management is essential to the Council's ability to deliver public services and to act as a custodian of public money.

Treasury Management Annual Report

The committee was scheduled to discuss the Treasury Management Annual Report 2024-25, presented by Mike Docherty, Strategic Finance Manager - Pensions & Treasury.

Key aspects of the report included:

• A review of the council's investment portfolio and borrowing strategy during the financial year.
• An assessment of compliance with treasury and prudential indicators.
• The council's total external debt increased from £548.6m at 31 March 2024 to £608.6m at 31 March 2025, primarily due to borrowing for the capital programme.
• Internal borrowing for the Housing Revenue Account[^3] (HRA) decreased from £106.0m to £87.0m. [^3]: The Housing Revenue Account (HRA) is a local authority account which contains the income and expenditure relating to its landlord function.
• The council's total investment position increased slightly, from £59.2m to £62.4m.
• Lampton Investment 360 Limited (LI360) made late quarterly interest payments on three occasions, resulting in penalty interest charges.
• The Council launched its Community Municipal Investment (CMI) in June 2025, enabling residents to invest in local green initiatives.

The report pack included an economic update from MUFG Corporate Markets Treasury Limited, and a benchmarking analysis of the council's investment portfolio.

Statement of Accounts

The committee was scheduled to consider the draft Statement of Accounts 2024/25, presented by Ben Lea, Head of Corporate Finance, and an update on the external audit.

Key points for discussion included:

• Noting the published draft Statement of Accounts 2024/25.
• Noting the Audit Strategy Memorandum documents from Forvis Mazars LLP, outlining the scope, approach, and risk-based priorities for the audit.
• Significant audit risks identified by Forvis Mazars, including management override of controls, measurement of fixed assets, implementation of IFRS 16[^1], and measurement of pension liabilities. [^1]: IFRS 16 is an international accounting standard specifying how to account for leases.

Annual Governance Statement

The committee was scheduled to review the draft Annual Governance Statement 2024/25. Mike Pinder, Head of Audit & Investigation, was expected to present the report.

Key areas of focus included:

• Noting the outcomes of the review of the effectiveness of internal control.
• Commenting on the draft Annual Governance Statement.
• Highlighting the council's governance arrangements, including the roles of the Cabinet, Corporate Leadership Team, and statutory officers.
• Reviewing the council's compliance with the CIPFA/SOLACE Framework for Delivering Good Governance in Local Government.
• Addressing key governance issues and planned improvements.

Internal Audit and Anti-Fraud

The committee was scheduled to receive the Annual report and opinion on internal audit and fraud and progress report on the work of internal audit and anti-fraud (Q4), presented by Mike Pinder, Head of Audit & Investigation.

Key items for discussion included:

• Noting the performance of the Internal Audit and Investigation team and key issues arising during Quarter 4.
• Noting the Head of Internal Audit Annual Opinion for 2024/25, which stated that reasonable assurance can be given that there is a sound system of internal control.
• Approving the Internal Audit Charter, Strategy, Fraud and Bribery Response plan, and Proactive Fraud plan.
• Confirming the adequacy of resources for the Head of Audit.

The report pack included the Internal Audit Charter, Internal Audit Strategy, Fraud and Bribery Response plan, a presentation on the Economic Crime and Corporate Transparency Act 2023, and the Anti-Fraud proactive plan 2025.

Internal Audit Plan

The committee was scheduled to discuss the Internal Audit Plan 2025/26, presented by Mike Pinder, Head of Audit & Investigation.

Key aspects of the plan included:

• A risk-based approach to internal audit planning, considering previous coverage, the risk register, and external sources.
• A strategic plan covering 2022 to 2027, and an operational plan for 2025/26.
• Details of specific audits planned for the year, covering areas such as risk management, transformation programmes, HR, data protection, key financial systems, and housing.

Appointment of Independent Members

The committee was scheduled to discuss the appointment of independent members to the Audit & Governance Committee. The report pack stated that Councillor Unsa Chaudri- Chair Councillors Pritam Grewal, Farah Kamran, John Todd, Mohammed Umair and Emma Yates were members of the committee. The report pack also named John Turnbull and Ilva Foteini.