The Corporate Governance Committee of Leicestershire County Council met on Monday 24 November 2025 to review a range of important governance and financial matters. Discussions were scheduled to cover the external auditor's annual report, treasury management, the performance of the Local Government and Social Care Ombudsman, and updates on risk management and internal audit.

External Auditor's Annual Report and Audit of Accounts

The committee was scheduled to consider the External Auditor's Annual Report and the external audit of the 2024/25 Statement of Accounts, Annual Governance Statement, and Pension Fund Accounts. This report, prepared by Grant Thornton UK LLP, the Council's external auditor, would have provided an overview of the audit progress and key findings from the financial statements. A supplementary report with the latest audit updates was to be circulated. The committee was asked to note the contents of the report.

Quarterly Treasury Management Report

A report was scheduled to update the committee on treasury management actions taken during the quarter ending 30 September 2025. This report detailed the Council's investments in private debt and bank risk-sharing funds, as well as short-term investments. It also provided an overview of movements and key performance indicators in the Council's investment loan portfolio, including the annual percentage rate (APR) and weighted average maturity (WAM). The report also detailed external debt repaid during the quarter, noting that the Council's external debt stood at its lowest level for over 20 years. The committee was asked to note this report.

Local Government and Social Care Ombudsman Performance Annual Report 2024/25

The committee was scheduled to receive a comprehensive overview of Leicestershire County Council's performance in relation to findings by the Local Government and Social Care Ombudsman for the period 1 April 2024 to 31 March 2025. The report highlighted a rise in the number of complaints and enquiries received by the Ombudsman, with 'Education and Children's Services' being the most frequent category. The report also detailed the number of cases decided by the Ombudsman, the uphold rate for complaints, and the Council's compliance with Ombudsman recommendations, which remained at 100%. The committee was recommended to note the contents of this report and provide comment.

Policy for Disclosure and Barring Service (DBS) Checks for Elected Members

A report was presented seeking approval for a new policy regarding Disclosure and Barring Service (DBS) checks for elected members. The policy mandates basic DBS checks for all members, with enhanced checks required for those in specific roles involving work with children or vulnerable adults, handling sensitive information, or holding positions of trust. These roles include Cabinet members and members of scrutiny committees for Children and Families, and Adults and Communities. The policy also outlines the procedure for obtaining checks, renewal requirements, and consequences for non-compliance. The committee was recommended to approve the policy.

Annual Report on the Operation of the Members' Code of Conduct 2024/25

This report fulfilled the requirement for the Monitoring Officer to report annually on the operation of the Members' Code of Conduct. It detailed the 34 complaints received under the Code between 1 October 2024 and 1 October 2025, noting an increase in complaints related to engagement with the public and social media comments. The report also discussed the balance between upholding standards of conduct and respecting freedom of speech under Article 10 of the European Convention on Human Rights. It highlighted upcoming reforms to strengthening standards and conduct frameworks for local government. The committee was asked to note the report and thank the Independent Persons for their diligence.

Risk Management Update

The committee was scheduled to receive an update on risk management, including changes to the Corporate Risk Register (CRR). A key change was the redefinition of the risk concerning developer contributions to better reflect the impact of housing and economic growth on essential infrastructure and services. Emerging risks related to Artificial Intelligence (AI) and Local Government Reorganisation were also to be discussed. Mitigations for AI risks included an AI Policy and Procedure, and an internal audit of AI use was being scoped. An update on Local Government Reorganisation indicated that a business case for a single unitary council for Leicestershire and Rutland was in its final stages. Counter fraud updates included the progress of the Anti-Fraud & Corruption Policy's two-year action plan and the National Fraud Initiative 2024-26 data-matching exercise. The committee was asked to approve the status of corporate and strategic risks, make recommendations for further examination, and note the emerging risks and counter fraud updates.

Internal Audit Service – Progress Against 2025-26 Internal Audit Plan and High Importance Recommendations

This report provided a summary of work undertaken by the Internal Audit Service between 1 April and 30 September 2025, an update on the implementation of high importance (HI) recommendations as of 31 October 2025, and progress against the 2025-26 Internal Audit plan. Several new HI recommendations were noted, particularly concerning Direct Payments and SEN Assessments within Children & Family Services, and Residential Settings within Adults & Communities. The report highlighted delays in implementing recommendations for Direct Payments due to issues with a prepaid card provider. Progress against the 2025-26 plan was generally on track, although some areas showed variances due to recruitment challenges and increased workload in other areas. The committee was asked to note the updates on work undertaken, HI recommendations, and progress against the plan.

Draft Internal Audit Charter – November 2025

The committee was presented with a revised Draft Internal Audit Charter, updated to align with the new Global Internal Audit Standards in the UK Public Sector (GIAS). The revised charter specifies the purpose, mandate, and reporting relationships of the Internal Audit function, incorporating updated requirements for independence, objectivity, and the committee's oversight role. The charter also takes into account CIPFA's Code of Practice on the Governance of Internal Audit. The committee was asked to review the draft charter and delegate authority to the Director of Corporate Resources to make any necessary changes.