The Audit & Governance Committee met on 29 July 2025, to discuss several key reports, including the internal audit strategy, the annual governance statement, and the council's financial accounts. The committee approved the disposal of the Purley John Fisher Rugby Football Club leasehold and the buyback of an ex-right-to-buy property in New Addington. Members also reviewed the internal audit strategy and plan, and discussed the council's progress with its target operating model.

Here's a more detailed look at the topics covered:

Ex-Right-to-Buy Property Buyback

The committee approved the recommendation to buy back an ex-Right to Buy property at 18 Redstart Close, New Addington. The purchase of this 2-bedroom ground floor flat aims to increase the supply of temporary accommodation and provide decant properties for Regina Road tenants, as well as replacement properties for the Croylease scheme¹. The Corporate Director of Resources was authorised to proceed with the purchase based on the terms detailed in the confidential Part B report.

Purley John Fisher Rugby Football Club Asset Disposal

The committee approved the disposal of the 999-year long leasehold interest of the Purley John Fisher Rugby Football Club at 255 Coulsdon Road, CR5 1EE. The aim of the disposal is to secure maximum receipts and reduce the council's outstanding debt. The existing tenant was identified as the preferred bidder. The Corporate Director of Resources was authorised to approve the disposal at the value stated in the confidential Part B report.

Internal Audit Strategy and Plan 2025/26

The committee reviewed and noted the draft Internal Audit Strategy and the plan of audit work for 2025/26. This is in line with the requirements of the Global Internal Audit Standards (GIAS)². The audit charter was not submitted due to new standards requiring revisions to the committee's terms of reference. The 2025/26 plan includes audits of emergency and temporary housing, special educational needs and disabilities (SEND) transport costs, and children's social care.

Annual Head of Internal Audit Report

The committee considered the Annual Head of Internal Audit Report, which detailed the work completed by Internal Audit in 2024/25. The Interim Head of Internal Audit stated that Internal Audit could provide Substantial Assurance in relation to the system of internal control.

Draft Annual Governance Statement

The committee was asked to consider the draft Annual Governance Statement (AGS) 2024/25, the Action Plan, the Local Code of Corporate Governance, and the Governance Framework. The AGS includes the council's significant challenges and risks, governance arrangements, and internal controls.

External Audit, IT Control Report

The committee received an update on the progress with the IT Controls Audit 2023/24, which showed the progress made to mitigate previously identified observations.

Target Operating Model Update

The committee received an overview of the council's progress with the Target Operating Model (TOM), governance, and risk. Individual project progress was set out in Appendix 1 of the Target Operating Model Update, and the detailed risk register was provided in Appendix 2. The TOM aims to transform the council into a more efficient and resident-centred organisation.

2023-24 Draft Annual Accounts

The committee was presented with the 2023-24 Statement of Accounts for approval.