The Audit & Governance Committee of Boston Council met on Monday 19 January 2026 to review a range of financial, governance, and audit-related matters. Key decisions included the approval of the audited Financial Statements for 2024/25, the adoption of the refreshed Counter Fraud, Bribery and Corruption Policy, and the recommendation for approval of proposed amendments to the Council's Contract Procedure Rules.

Proposed Amendments to the Council's Contract Procedure Rules

The Committee considered proposed amendments to the Council's Contract Procedure Rules (CPRs), presented by the Head of Procurement & Contracts. These amendments were designed to ensure compliance with the Procurement Act 2023, reflect best practice, and address practical challenges. Key changes included updated procurement thresholds, a reduction in the minimum number of quotations required for mid-value contracts from five to three, and new sections on conflict of interest and pre-market engagement. The Committee recommended these amendments for approval by Cabinet and Council.

External Audit Completion Report 2024/2025 (ISA260)

The Committee received the External Audit Completion Report for 2024/25 from KPMG. The auditors confirmed that an unqualified, unmodified opinion would be issued. The report highlighted two material misstatements relating to asset valuations, which had been corrected by management. Four recommendations for performance improvement were raised, none of which were considered significant or fundamental to internal control. The Committee noted the report.

External Auditor's Annual Report 2024/25

KPMG presented the External Auditor's Annual Report for 2024/25, which summarised findings on the Council's arrangements for economy, efficiency, and effectiveness in its use of resources. No significant weaknesses were identified in financial sustainability, governance, or the effective use of resources. The Committee noted the report.

Financial Statements 2024/25

The audited Financial Statements for 2024/25 were presented, incorporating adjustments identified during the external audit, including valuation corrections for Garfits Lane Playing Field and the PRSA Athletics Track. The Committee approved the audited Financial Statements for publication, granted delegated authority to the S151 Officer for minor amendments, and authorised the S151 Officer to approve the Letter of Representation on behalf of the Committee.

Annual Governance Statement - Action Plan Update

An update was provided on progress against actions arising from the Annual Governance Statement (AGS). The report confirmed that work was ongoing to strengthen financial planning and governance processes, with a revised process implemented for the Medium-Term Financial Strategy and ongoing monitoring of government proposals for proxy voting and virtual meetings. The Committee noted the update.

Quarter 2 25/26 Risk Report

The Committee received the Quarter 2 Risk Report, which provided an update on the Council's strategic and partnership risk registers. Actions from recent risk workshops were being progressed, and a comprehensive review of all risks was scheduled. The Committee noted the report.

2025/26 Mid-Term Treasury Report

The Mid-Term Treasury Management Report for 2025/26 was presented, providing an update on treasury performance for the first half of the financial year. Key highlights included the repayment of a LOBO loan, resulting in projected savings, and compliance with all prudential indicators. The Committee noted the report and recorded comments for consideration by Council.

Counter Fraud, Bribery and Corruption Policy

The refreshed Counter Fraud, Bribery and Corruption Policy was presented, reinforcing the Council's commitment to integrity and accountability. Key features included a zero-tolerance approach, defined responsibilities, and procedures for reporting suspected fraud. The Committee approved the policy and granted delegated authority to the S151 Officer to make minor amendments.

Information Governance Annual Update 2024/25

The annual update on Information Governance compliance was presented, detailing performance against statutory requirements for data protection and information requests. The Council maintained a strong compliance record, with 98.3% of information requests responded to within statutory deadlines and no ICO decision notices issued. The Committee noted the update.

Work Programme

The updated Work Programme for the Audit & Governance Committee was presented for consideration. The programme included regular reports on risk management, treasury performance, and internal audit progress, as well as annual items. The Committee noted the Work Programme.