The Audit & Governance Committee of Oxfordshire Council was scheduled to discuss the council's financial management, internal audit progress, and treasury management strategies. Key topics included the endorsement of the Treasury Management Strategy and Annual Investment Strategy for 2026/27, an assessment of compliance with the Financial Management Code of Practice, and an update on actions from the Annual Governance Statement.

Internal Audit 2025/26 Progress Report

The committee was scheduled to receive an update on the progress of the Internal Audit Service for the 2025/26 financial year. This included information on resources, completed audits, and planned audits. The report detailed that eight audits had been concluded since the previous committee meeting, with two receiving an overall Red conclusion, indicating significant weaknesses. These would be reviewed by the Audit Working Group. The report also outlined performance indicators for the internal audit service and noted that the team was working towards full conformance with the Global Internal Audit Standards.

Treasury Management Strategy and Annual Investment Strategy for 2026/27

A significant portion of the meeting was dedicated to the Treasury Management Strategy and Annual Investment Strategy for the upcoming financial year. The strategy outlines the council's objectives for debt and investment management, forecasting an average cash balance of £345 million. The report detailed proposed changes to lending limits and provided an outlook on interest rates, with the Bank of England Base Rate forecast to decrease. The strategy also aimed to decrease long-term investments to allow for greater internal borrowing, particularly in light of an anticipated increase in the council's Capital Financing Requirement. The committee was recommended to endorse this strategy.

Financial Management Code of Practice Compliance Assessment

The committee was scheduled to review the outcome of the council's compliance self-assessment against the Financial Management Code of Practice (FM Code) for 2025/26. The FM Code, launched by the Chartered Institute of Public Finance and Accountancy (CIPFA), aims to ensure the financial resilience and sustainability of local authorities. The assessment indicated that the council was well placed to meet the requirements of the FM Code, with 17 out of 19 standards rated as green. Areas for further development included the embedding of the Financial & Commercial Services Redesign and improvements to data structures and reporting. The committee was recommended to endorse this assessment.

Annual Governance Statement 2024/25 – Update on Actions

An update was to be provided on the eight specific areas of focus identified in the 2024/25 Annual Governance Statement (AGS) for action in 2025/26. Progress reports were scheduled for schemes of delegation, review of members' and officers' fiduciary responsibilities, contract management, executive officer decisions, the Code of Practice on Good Governance for Local Authority Statutory Officers, the appointment of an independent member to the Audit & Governance Committee, the commissioning of an Independent Remuneration Panel, and inspections review. Updates indicated that some actions were completed, while others, such as contract management and executive officer decision guidance, were ongoing.

Audit Working Group Update

The committee was to receive an update from the Audit Working Group, which had met on 10 December 2025. The group had reviewed the implementation of management actions arising from the audits of Strategic Contract Management and Income Collection Street Works and Parking, both conducted in 2024/25. For Strategic Contract Management, it was noted that the issues highlighted in the audit were being addressed through the Commercial Transformation Programme, with further updates expected. Regarding Income Collection, progress on implemented improvements and outstanding actions was reported, with the Audit Working Group satisfied with the advancements made.

Audit & Governance Work Programme

Finally, the committee was scheduled to review its work programme for the upcoming meetings in 2026, including planned training sessions and reports.