The Audit Committee of Tower Hamlets Council is scheduled to convene on Wednesday, 4 November 2026. The meeting's agenda includes a review of the 2025/26 audit results reports for both the Council's main accounts and the Pension Fund accounts, as well as an update on the progress of action plans in response to external auditor recommendations.

Audit Results Reports for 2025/26

The committee's agenda includes the provisional audit results reports for the year ending 31 March 2026 from the Council's external auditor, Ernst & Young LLP (EY). These reports will detail findings related to the audit of the financial statements for both the London Borough of Tower Hamlets¹ and the Tower Hamlets Pension Fund².

The report on the Council's main accounts, titled Provisional Audit Results Report Year ended 31 March 2026³, is expected to outline conclusions from the audit of the 2025/26 financial statements. It will also summarise the progress in rebuilding assurance following previous audit opinions, in line with the Ministry of Housing, Communities and Local Government's audit recovery programme. EY anticipates issuing a disclaimed audit opinion for the 2025/26 financial statements, noting that while progress has been made, significant work remains. The report is also scheduled to detail observations and recommendations regarding management's financial processes and controls, and to provide commentary on the Council's arrangements for securing value for money.

Similarly, the Tower Hamlets Pension Fund Provisional Audit Results Report Year ended 31 March 2026⁴ will present EY's findings from the audit of the Pension Fund's financial statements. This report is expected to cover areas of audit focus, conclusions on the Fund's accounting policies and judgements, and an assessment of the control environment.

Progress Update on Action Plan Delivery

The committee's agenda includes an update on the Progress Update on Action Plan Delivery in Response to External Auditor Recommendations Q2 2026/27⁵. This report details the Council's progress in addressing four statutory recommendations and six significant weaknesses identified by the external auditor. The report indicates that considerable progress has been made, with a coordinated improvement programme now in place, supported by clearer leadership, strengthened accountability, and more rigorous governance and oversight. Tangible improvements have been delivered across various areas, including financial reporting, procurement controls, risk management capacity, and internal investigations. The report will outline the current status of the action plan, including completed actions and those still in progress.

Risk Management – Corporate Risk Register

The committee is also scheduled to consider the Risk Management – Corporate Risk Register report⁶. This report provides an update on the Council's corporate risks, including any additions or removals from the register. It will detail the strategic and operational risk landscape, with a heatmap summary, quarterly score tracker, and a detailed corporate risk register attached as appendices. The report will also include an update on risk appetite and tolerance levels, and the reporting and monitoring arrangements in place.

2025/26 Updated Statement of Accounts

Finally, the committee is expected to consider the 2025/26 Updated Statement of Accounts⁷, which includes the Pension Fund Accounts and the Annual Governance Statement. This consideration is a statutory requirement. The report notes that the external auditor's provisional audit findings reports for both the Council's main accounts and the Pension Fund accounts are presented separately at the meeting. The report highlights significant progress made in 2025/26 in rebuilding assurance over the Council's financial statements, following a period of historic audit delays.