The Audit and Standards Committee of Northumberland Council was scheduled to meet on Thursday, 26 March 2026, to review external inspection reports for Adults' Services and Children's Services, discuss the council's financial statements, and consider the strategic audit plan for the upcoming year. The meeting's agenda also included updates on the council's going concern status and the annual review of audit committee arrangements.

External Inspections in Adults' Services and Children's Services

The committee was scheduled to receive a joint report from the Cabinet Member for Adults' Services and Health and the Cabinet Member for Children and Young People concerning external inspections. This report covered the period from 1 July 2025 to 31 December 2025 and aimed to inform members about the activity related to external inspections in Adults Social Care and Children's Services, and the associated actions being taken by the council. The report detailed the inspection status of various adult social care providers, noting that 90.6% of Northumberland-based providers were rated as Good or Outstanding by the Care Quality Commission (CQC) as of December 2025. It also outlined the inspection outcomes for the council's own children's homes, all of which were rated as Good by Ofsted. The report also covered inspections of schools and early years settings, and provided an update on the Youth Justice Service's inspection by HM Inspectorate of Probation.

Audit and Standards Committee Work Programme 2026/27

A report from the Head of Internal Audit and Risk Management proposed a programme of core business for the Audit and Standards Committee for the 2026/27 financial year. This programme is designed to ensure the committee receives adequate coverage of assurance reports and maintains an appropriate focus on business concerns, in line with its Terms of Reference as set out in the Council's Constitution. The proposed programme was developed in consultation with lead report authors, Internal Audit, Finance, Democratic Services, and the external auditor.

Annual Review of Audit Committee Arrangements

The committee was scheduled to review a self-assessment of its arrangements against good practice guidance recommended by the Chartered Institute of Public Finance and Accountancy (CIPFA) for Audit Committees. The report highlighted areas where further development might be needed to ensure alignment with CIPFA's recommendations. It was proposed that the Head of Internal Audit and Risk Management, in conjunction with the Chair of the Audit and Standards Committee, would develop a plan of actions to address any identified areas for improvement. This report was also intended to form the basis of an annual report to the Council, demonstrating how the committee fulfils its Terms of Reference.

Statement of Accounts – Group Boundary Review 2025-26

A report from the Cabinet Member for Finance and Value for Money detailed a boundary review undertaken to determine which organisations' financial statements should be consolidated into the Council's Statement of Accounts for the financial year ended 31 March 2026. The review considered the relationships with Advance Northumberland Limited, Northumberland Enterprise Holdings Limited, and Energy Central Campus Limited. The report recommended that the financial statements of Advance Northumberland Limited and Northumberland Enterprise Holdings Limited continue to be consolidated, while noting that Energy Central Campus Limited would not be consolidated as the council does not have direct control, joint control, or significant influence over it.

Consideration of Going Concern Status for the Statement of Accounts for the year ended 31 March 2026

This report addressed the requirement for Northumberland County Council to assess whether it should be considered a 'going concern' organisation for the preparation of its annual Statement of Accounts. The report concluded that the council is a going concern, citing its strong financial position, balanced budget for 2026-27, healthy reserves, and a history of stable finance. It also noted that there were no significant financial, operating, or other risks that would jeopardise the council's continuing operation. The report recommended that members note this assessment and that the Statement of Accounts for 2025-26 will be prepared on this basis.

Strategic Audit Plan 2026/27

The Head of Internal Audit and Risk Management presented the Strategic Audit Plan for 2026/27, outlining the planned work of Internal Audit for the upcoming year. The plan is based on a risk assessment of the council's objectives, risks, and internal control systems, and aims to ensure that Internal Audit resources are deployed in areas that will provide the greatest benefit. The report also sought approval for the Internal Audit Charter and Mandate for 2026/27. Key themes in the plan included programme and project assurance, corporate and cross-cutting activities, service area reviews, computer audits, counter fraud measures, and reviews of key financial systems.

Monitoring Report / Action Log 2025-26

The committee was asked to review and note its monitoring report and action log for the 2025/26 council year. This document tracks actions arising from previous meetings and their progress towards completion.