The Governance, Audit, Risk Management and Standards Committee (GARMS) met on Monday 20 July 2026 to review the draft Statement of Accounts for 2025-26 and the associated audit strategy. The committee also discussed the Culture, Environment and Economy Directorate's risk register, treasury management outturn, annual housing complaints report, annual health and safety report, internal audit and risk management annual report, and the Corporate Anti-Fraud Team's annual report.

Key decisions made included the noting of the draft Statement of Accounts and audit strategies, the Culture, Environment and Economy Directorate's risk register, the treasury management outturn position for 2025-26, the annual housing complaints report, the annual health and safety report, the internal audit and risk management annual report, and the Corporate Anti-Fraud Team's annual report. The committee also reviewed and noted the refreshed RIPA policy and noted that no RIPA activity was undertaken in 2025.

Draft Statement of Accounts 2025/26 & Audit Strategy 2025/26

The committee reviewed the draft Statement of Accounts for 2025/26, which reported a General Fund surplus of £3 million, transferred to earmarked reserves, and a General Fund balance maintained at £10 million. The Comprehensive Income and Expenditure Statement showed a deficit on the provision of services of £17 million, with a net asset position of £1,036 million reported on the Balance Sheet. The Housing Revenue Account reported a surplus of £2.3 million, while the Collection Fund showed a deficit of £3.84 million.

The audit strategy for the Council and the Pension Fund was also presented. External auditors, Forvis Mazars LLP, noted that fieldwork had commenced and outlined significant risk areas including management override of controls, valuation of the net defined pension liability, valuation of property, plant and equipment and investment property, and the implementation of IFRS 16. The auditors confirmed that the Council's pension fund opinion had been unmodified throughout the process, and they did not foresee any issues with issuing an unqualified opinion for the current year.

2026/27 Culture, Environment and Economy Directorate Risk Register Q1

The committee received an update on the Culture, Environment and Economy (CEE) Directorate's risk register for Quarter 1 of 2026/27. There were seven open risks, with four rated amber and three rated green. The most significant amber risks included fraud occurring, failure to deliver the Highways Programme, failure to deliver rapid EV charging due to procurement challenges, and the failure of the council's enforcement contractor, Kingdom, to carry out its work in line with the council's code of conduct. The latter was a new risk added due to the suspension of Kingdom's operations.

Treasury Management Outturn 2025/26

The committee noted the Treasury Management outturn position for 2025/26. The Council's capital expenditure was £75.6 million, financed by £33.2 million of borrowing and £42.4 million from other sources. The total Capital Financing Requirement (CFR) increased to £597.5 million. Gross borrowing stood at £479.7 million against an authorised limit of £697.6 million, indicating an under-borrowed position. Investment income for the year was £2.42 million, which was less than the budgeted £2.74 million.

Annual Housing Complaints Report 2025/26

The committee noted the annual housing complaints report, which highlighted an increase in complaint volumes. Stage 1 complaints rose by 89% and Stage 2 complaints by 221%. While timeliness for Stage 1 responses improved to 78.6%, Stage 2 performance remained a challenge at 58.5%. Overall satisfaction with the landlord's approach to handling complaints was 17.3%. The top three complaint themes were repairs and property condition, damp and mould, and heating, hot water, and boiler issues. The report also detailed service improvements underway, including enhanced contractor oversight and a new complex complaints coordinator role. Fourteen Housing Ombudsman Service determinations were made, with 86% finding maladministration.

Annual Health and Safety Report 2025/26

The committee noted the annual Health and Safety report, which indicated a 8% increase in reported incidents to 524, potentially reflecting improved reporting practices. Six RIDDOR incidents were recorded. The most frequent incident types were accidents (202) and violence/aggression (193). Training completion rates were high, with 100% for IOSH Leadership Training for the Corporate Leadership Team. Management audits showed 90% completion, with an average score above 80%. The report also highlighted ongoing work on the H&S strategy, risk assessments, and wellbeing initiatives, including the promotion of the Employee Assistance Programme. The overall corporate health and safety risk rating was maintained at D2 (Amber).

Internal Audit and Risk Management Annual Report 2025/26

The committee considered the Internal Audit Annual Report, which stated that 92% of the 2025/26 internal audit plan was completed, exceeding the 90% target. 100% of recommendations were agreed for implementation. The Chief Audit Executive provided a Reasonable assurance opinion on the Council's governance, risk management, and control frameworks, noting ongoing cost pressures in Adult Social Care and Temporary Accommodation as key challenges. The report also detailed the Internal Audit Strategic Plan for 2025-2028 and the Risk Management Annual Report, which included the approval of an updated Risk Management Strategy and the quarterly review of corporate and directorate risk registers.

CAFT Annual Report 2025/26

The committee noted the Corporate Anti-Fraud Team (CAFT) annual report, which detailed that 9 out of 15 workstreams in the 2025/26 plan were achieved, with four out of five key performance indicators met. The combined loss and loss avoidance total for fraud investigations and National Fraud Initiative (NFI) work amounted to £2,030,761, representing a return on investment of almost 7:1. The report highlighted that the target of recovering 15 social housing units and disrupting fraudulent right to buy applications was not met, with 10 achieved.

Regulation of Investigatory Powers Act 2000 (RIPA)

The committee noted the refreshed RIPA policy, which included minor changes following an inspection by the Investigatory Powers Commissioner's Office. The policy was deemed to be in compliance with RIPA 2000 and the Investigatory Powers Act 2016. Members were also informed that no RIPA activity was undertaken by the Council during 2025.

Other Business

The committee agreed to extend the meeting to 9:15 pm to allow for the remaining agenda items to be discussed.

Appointments

Councillor David Perry was proposed and seconded as Vice Chair of the committee.

Declarations of Interest

Councillor Bridget Owen declared a pecuniary interest in the HSTP being mentioned in a report, but had dispensation to remain in the meeting and discuss, but not vote.

Minutes

The minutes of the meeting held on 15 April 2026 were agreed as a correct record.

Public Questions, Petitions, Deputations, and References

No public questions, petitions, deputations, or references from Council and other committees or panels were received.

Establishment of the Standards Working Group

The appointments to the Standards Working Group were agreed.

Health and Safety Report

The committee noted the Accidents and Incidents report, the H&S Strategy and Corporate H&S Plan, and the information on the Employee Assistance Programme.

Internal Audit and Risk Management Annual Report

The committee considered the information in the Internal Audit and Risk Management Annual Report and its appendices, noting the contents.

Treasury Management Annual Outturn Report 2025-26 - Appendix 1

The committee noted the Treasury Management outturn position for 2025-26.

Any Other Urgent Business

No other urgent business was raised.

Part II Business

The meeting moved into Part II business, and the recording was stopped.