The Audit and Standards Advisory Committee met on 23 July 2025, and among the topics discussed were the council's treasury management performance, an update on the procurement review, and emergency preparedness. The committee agreed to note the key recommendations of the Procurement Review and the establishment of the Procurement Improvement Programme, and requested a further progress update in six months. The committee also approved the submission of the Treasury Management Outturn Report to the cabinet.

Treasury Management Outturn Report

The committee reviewed the Treasury Management Outturn Report for 2024-25, which details the council's borrowing and investment decisions. The report highlighted that the council complied with its Prudential Indicators for 2024/25. Key figures included:

• Borrowing outstanding at £900.02m, an increase of £85.8m due to new loans and repayment of maturing debt.
• Cash Investments decreased by £48.0m to £47.3m.
• The Capital Financing Requirement (CFR) increased by £96.9m to £1,351.4m.
• The average debt pool rate was 3.85%.
• The rate of return on cash investments decreased to 4.53%.
• The Minimum Revenue Provision (MRP) charge for the general fund was £19.8m.

The report also noted that the council's main objective when borrowing is to strike a balance between securing low interest costs and achieving cost certainty, while maintaining flexibility. The council did not invest in assets primarily for financial return. The committee approved the submission of the report to the cabinet.

Procurement Review Update

The committee received an update on the Procurement Review and the establishment of a Procurement Improvement Programme (PIP). The review, conducted between January and April 2025, covered procurement processes, governance, contract management, engagement, data usage, strategy, team culture, and collaboration. Key recommendations from the Procurement Peer Review Executive Summary included:

• A culture reset to adopt a proactive and commercial approach.
• Addressing non-compliant activity within directorates.
• Improving relationships between procurement and service areas through robust governance.
• Refreshing the contract register and evaluating a more robust approach to data management.
• Updating the Procurement Strategy and Social Value Policy.
• Clarifying responsibilities across all social value activities.

The PIP was endorsed by the Corporate Management Team (CMT) and Policy Coordination Group (PCG). The committee agreed to note the key recommendations of the Procurement Review and the establishment of the PIP, and requested a further progress update in six months.

FM Code Update

The committee received an update on the implementation of the Chartered Institute of Public Finance and Accountancy (CIPFA) Financial Management (FM) Code¹. The FM Code is designed to support good practice in financial management and to assist local authorities in demonstrating their financial sustainability. The report concluded that the council's financial management is aligned with the CIPFA FM Code. The committee noted the content of the report.

Emergency Preparedness Report

The committee received an update on the work and priorities of the Emergency Planning and Resilience team. A central focus continues to be the implementation of actions identified through the analysis of the Grenfell Inquiry report², which highlighted several areas requiring improvement. In recent weeks, the team has concentrated efforts on the response to the fire at Tillet Close, which has reinforced the importance of the council's role in supporting recovery efforts following major emergencies. The committee noted the report.

Evaluating the Effectiveness of the Audit and Standards Advisory Committee

The committee reviewed the outcomes of the evaluation of its own effectiveness for the municipal year 2024-25. The evaluation was based on the Local Government Association's (LGA) 'Ten questions for audit committees' questionnaire. The survey outcomes did not identify any significant gaps or issues relating to the effectiveness of the committee, but a number of areas were identified where improvements could be made to further enhance effectiveness. The committee agreed to review the outcomes of the self-assessment, discuss any performance/effectiveness related issues, and identify any additional training needs that should be prioritised in 2025-26.

Audit & Standards Advisory Committee Forward Plan & Work Programme for 2025-26

The committee considered and noted the Audit & Standards Advisory Committee Forward Plan & Work Programme for 2025-26.