The General Purposes and Audit Committee of Bexley Council met on Thursday 26 September 2024 to discuss the approval of the council's 2022/23 and 2023/24 statements of accounts, the audit results for the Bexley Pension Fund's 2023/24 statement of accounts, and the proposed training programme for the committee. Decisions were made regarding the delegation of authority for the approval of the 2022/23 statement of accounts and the approval of the Pension Fund accounts.

Update on the Approval of the London Borough of Bexley's 2022/23 Statement of Accounts

The committee considered a report requesting the delegation of authority to the Director of Finance and Corporate Services, in consultation with the Chairman of the General Purposes and Audit Committee, to authorise the council's 2022/23 Statement of Accounts for issue. This was necessary to meet the backstop deadline of 13 December 2024, as set by the government to clear the backlog of unaudited accounts. Ernst & Young LLP (EY), the external auditors, confirmed their programme of work to meet this deadline. The committee was advised that the audit fee was set by the Public Sector Audit Appointments (PSAA) Ltd and that additional work had not been factored into these costs. The committee resolved to delegate this authority.

Audit Results Report for the London Borough of Bexley's 2023/24 Statement of Accounts

Ernst & Young LLP (EY) provided an interim audit results report for the 2023/24 audit of the council's accounts. The audit is ongoing, with some areas still to be completed. EY reported that there had been changes to a couple of areas of risk and that materiality had been updated for 2023/24. While some outstanding audit items needed wrapping up, there was nothing causing EY concern. The audit work on Property, Plant and Equipment (PPE) was largely completed, but Heritage Assets would be revisited. EY's work on Value for Money (VFM) was ongoing, with arrangements in place to mitigate risk. The committee was advised that PPE had been given the wrong valuation, and there was a decrease in pension assets of £91 million due to a revised IAS19 report. The committee resolved to approve the accounts and delegate the signing of the accounts to the Director of Finance and Corporate Services in consultation with the Chairman, subject to no significant issues being identified in the remainder of the audit.

Audit Results Report for Bexley Pension Fund's 2023/24 Statement of Accounts

The committee considered the Audit Results Report for the Bexley Pension Fund's 2023/24 Statement of Accounts. EY reported that these were a good set of accounts, and although some testing was still in progress, no uncorrected misstatements had been identified. The committee resolved to approve the Pension Fund Accounts and delegate the signing of the accounts to the Director of Finance and Corporate Services in consultation with the Chairman, subject to no significant issues being identified by EY in the conclusion of the audit.

General Purposes and Audit Committee Training Programme

The committee considered a report outlining the proposed training programme for 2024/25 and 2025/26. The training covers seven core areas of knowledge and will be delivered at regular intervals. Training is also available from the Chartered Institute of Public Finance and Accountancy (CIPFA) and other providers. It was suggested that the training be extended to all members of the council. The committee resolved to review the report and proposed training programme, suggest revisions, and approve the plan subject to agreed amendments.

Revised Internal Audit Charter

The committee received a report regarding the revised Internal Audit Charter. It was reported that a two-page summary report for daily use would follow, but Appendix A contained the formal document. The committee considered that the charter should include contracts to ensure they were giving value for money. The committee resolved to approve the revised Internal Audit Charter.

Internal Audit Progress Report Q2 2024/25

The committee received the Internal Audit Progress Report for Q2 2024/25, which provided an update on internal audit activity during the quarter. The report included summaries of final reports issued and the level of assurance provided. It was noted that audits for three items on the audit plan had not yet started due to recruitment difficulties, although some roles would be filled soon. There were currently no audit recommendations for Adult Social Care and Health and Children's Services as PwC's work was still ongoing. The report was noted.

Counter Fraud Progress Report Q2 2024/25

The committee received the Counter Fraud Progress Report Q2 2024/25, which informed members of Counter Fraud activity during the period mid-July to mid-September 2024. It was advised that blue badge fraud is a national problem. The committee noted that the Counter Fraud Plan would be brought to January's meeting. The report was noted.

Debt and Debt Recovery as at 31 July 2024

The committee resolved that the press and public be excluded from the meeting during consideration of this item due to the disclosure of exempt information relating to the financial affairs of individuals and organisations. The committee received a report on debt and debt recovery as of 31 July 2024, which set out the main types of debt, the level of debt owed, and the recovery process. Members requested a further update on recovering outstanding debt with Newham and Havering, and were advised that the Director of Finance and Corporate Services would be meeting with their counterparts on 9 October. The report was noted.