The Audit Committee of Bolsover District Council is scheduled to meet on Thursday 25 September 2025 to discuss several key reports, including the Audit Strategy Memorandum, the Statement of Accounts, and the Annual Governance Statement. The committee will also receive a verbal update on the Strategic Risk Register and Partnership Arrangements. The meeting is set to take place at The Arc in Clowne.

Here are the topics that are scheduled to be discussed:

Statement of Accounts 2024/25

The committee is scheduled to consider and approve the council's draft Statement of Accounts 2024/25. According to the report pack, the statutory deadline for publishing the draft accounts was 30 June 2025, and they were published on the council's website on 19 June 2025.

The report pack highlights that external auditors, Forvis Mazars, began their audit at the beginning of September. Because of this, the statement of accounts may be subject to change. The report pack recommends that the committee delegate powers to Theresa Fletcher, Director of Finance and Section 151 Officer, in consultation with the Chair or Deputy Chair of the committee, to agree any final changes deemed necessary by Forvis Mazars to complete the statement by 27 February 2026.

The report pack also notes that the backstop date for the sign off of the 2023/24 financial statements was 28 February 2025. It explains that the council received the audited financial statements from Dragonfly during February 2025, but that Forvis Mazars were unable to complete the audit procedures necessary to base an opinion before the publication date. As a result, Forvis Mazars gave a disclaimer of opinion on the council's financial statements for 2023/24, which included group accounts for the first time, on 21 February 2025. The report pack states that the council is working with the auditors to rebuild assurance over the council's group financial statements.

The report pack summarises the outturn position for 2024/25, noting a net underspend on the general fund of £1.575m and a net cost of services underspend of £0.853m on the Housing Revenue Account (HRA).

The report pack includes a summary of the running order of the Statement of Accounts 2425, including:

• Narrative Report
• Statement of Responsibilities for the Statement of Accounts
• Single Entity Financial Statements
• Group Accounts

The Narrative Report provides an introduction to the statements, with sections on:

• Organisation and Governance, noting that the council operates some of its services with its wholly owned company Dragonfly Development Ltd, as a company limited by shares, and Dragonfly Management (Bolsover) Ltd, which is a wholly owned subsidiary of Dragonfly Development Ltd
• Strategy and Resource Allocation
• Capital Expenditure and Resources
• Treasury Management
• Assets
• Reserves and Balances
• Collection Fund
• Pension Fund Liability
• Risks and Opportunities
• Performance
• Local Audit Delays
• Outlook

The report pack also includes the Published 19 06 25 Financial Statements 2425.

Annual Governance Report 2024/25

The committee will be asked to agree to the conclusions and content of the Annual Governance Statement, which is proposed to be incorporated within the council's Statement of Accounts for 2024/25. The report pack also notes that the committee will be asked to agree to the revised Code of Corporate Governance, and to increase awareness of governance issues amongst members, employees and stakeholders.

The report pack states that the Annual Governance Statement is an assessment of the extent to which the key principles of corporate governance are in place within the authority and are adhered to in practice. It notes that the Audit Committee will also be requested to give consideration to the council's updated Code of Corporate Governance.

The report pack states that the Annual Governance Statement 2025 and the BDC Code Corporate Governance Changes Reviewed 2025 are corporate documents, which must be owned by the whole organisation. It notes that the changes are predominantly alterations to the mechanisms that the council has in place to support the core principles of good governance.

The report pack recommends that delegated powers are granted to the Section 151 Officer in consultation with the Chair or Deputy Chair of the Audit Committee to agree any changes which may be necessary in order to ensure the finalisation of the external audit currently being concluded by the council's external auditors Forvis Mazars to ensure completion of the Statement of Accounts by the statutory deadline of 27 February 2026.

The Annual Governance Statement 2025 includes sections on:

• The Council's Governance Responsibilities
• Governance and Partnerships
• The Purpose of the Governance Framework
• Managing Risk and Opportunities
• Decision Making and Responsibilities
• Equality
• Financial Management
• Procurement of Goods and Services
• Managing Information
• Assurance from Internal and External Audit
• Conduct
• Whistleblowing
• Anti-Fraud, Bribery and Corruption
• Significant Governance Issues

The report pack also includes the BDC Code Corporate Governance Changes Reviewed 2025, which sets out the council's commitment to good corporate governance and the principles involved.

Assessment of Going Concern Status

The committee will be asked to accept the outcome of the Section 151 Officer's assessment of the council's going concern status for the purposes of preparing the Statement of Accounts for 2024/25.

The report pack notes that the concept of a going concern assumes that an authority, its functions and services will continue in operational existence for the foreseeable future. It states that this assumption underpins the Statement of Accounts, as local authorities carry out functions essential to the local community and are themselves revenue-raising bodies.

The report pack lists the main factors which underpin the assessment:

• The Council's current financial position
• The Council's balance sheet
• The Council's cash flow
• The Council's projected financial position
• The Council's governance arrangements
• The regulatory and control environment applicable to the Council as a local authority

The report pack concludes that the council remains a going concern and that the accounts for 2024/25 have appropriately been prepared on this basis.

Audit Committee Annual Report 2024/25

The committee will be asked to note the Audit Committee Annual Report, which reports on how the committee has complied with the Chartered Institute of Public Finance and Accountancy (CIPFA) Position Statement: Audit Committees in Local Authorities and Police 2022.

The report pack notes that Audit Committees are a key component of an authority's governance framework, providing an independent and high-level focus on the adequacy of governance, risk, and control arrangements.

The report pack states that during 2024/25, the committee met on 4 occasions, was chaired by Councillor Munro, and was advised by the Director of Finance and Section 151 Officer and the Head of the Internal Audit Consortium. It notes that the committee had 6 Councillors as members (who are not Members of the Executive) plus 1 co-opted independent member and it was also attended by the council's external auditor Forvis Mazars.

The report pack lists the reports that the committee received during the year, including:

• External Auditor's annual report 2022/23
• BDC Audit Strategy Memorandum 2024-25 - signed
• Summary of progress on the Internal Audit plan– quarterly reports
• Implementation of Internal Audit recommendations ½ yearly report
• Internal Audit Consortium annual report 2023/24
• Strategic Risk Register and Partnership Arrangements report
• Forvis Mazars report to those charged with Governance (audit completion report)
• Going Concern Report
• Review of the Internal Audit Charter
• Report of the External Auditor External Audit progress report July 2024
• BDC Statement of Accounts 2023/24
• Annual Governance Statement and Local Code of Corporate Governance 2023/24
• Accounting Policies 2024/25
• Internal Audit plan
• Global Internal Audit Standards
• Audit Annual Report
• Local Audit Delays Update
• Member Training 2024/25 Member discussion

The report pack states that the committee aims to add value through its activity, and in particular has:

• Scrutinised the statement of accounts prior to approval thereby ensuring that they are an accurate reflection of the council's finances
• Reviewed the Code of Corporate Governance and approved the Annual Governance Statement to ensure it is a true and fair view of the council's governance and risk management arrangements
• Reviewed the strategic risk register to ensure that risks are being appropriately mitigated thus providing additional assurance that risk is being managed appropriately

Audit Strategy Memorandum Year Ending 31st March 2025

The committee will be asked to consider the Audit Strategy Memorandum Year Ending 31st March 2025 from Forvis Mazars.

The BDC Audit Strategy Memorandum 2024-25 - signed outlines Forvis Mazars' audit approach, including significant audit risks and key judgement areas. It also provides details of the audit team and summarises considerations and conclusions on their independence as auditors.

The document includes the following sections:

• Engagement and responsibilities summary
• Your audit team
• Audit scope, approach, and timeline
• Materiality and misstatements
• Significant risks and other key judgement areas
• Value for Money
• Audit fees and other services
• Confirmation of our independence
• Appendices

The document identifies the following significant risks:

• Management override of controls
• Valuation of land, buildings and investment properties
• Net defined benefit valuation
• Application of IFRS 16 for the 2024-25 financial year
• Group Consolidation

The document also notes that The Local Audit Reset and Recovery Implementation Guidance (LARRIG) 06 was issued by the NAO to support auditors in meeting the requirements of the Government's backstop arrangements included in the Accounts and Audit (Amendment) Regulations 2024. It states that additional significant risks may be identified, and that any additional risks will be reported to Members in Progress Reports.

Strategic Risk Register and Partnership Arrangements

The committee will receive a verbal update on the Strategic Risk Register and Partnership Arrangements. The Strategic Risk Register identifies and mitigates the Strategic and Operational risks which could hinder or prevent the council's plans being achieved. Partnership Arrangements relate to the council's work with other organisations to deliver services.

Minutes

The committee will be asked to approve the minutes of the last meeting held on 7th July 2025. The minutes, if approved, will be a formal record of the decisions taken at that meeting. The e. 070725 Audit document includes the following resolutions:

• That the Minutes of an Audit Committee held on 22nd January 2025 be approved as a true record.
• That the Minutes of an Audit Committee held on 20th February 2025 be approved as a true record.
• That the Minutes of an Audit Committee held on 9 th April 2025 be approved as a true record.
• That the report be noted in relation to the Homes England: Compliance Audit Report 2024/25.
• That the report be noted in relation to the Summary of Progress on the 2024/25 Internal Audit Plan.
• That the 2024/25 Internal Audit Consortium Annual Report and the overall assurance opinion on the Council's governance, risk management and control arrangements, be accepted.
• That the report be noted in relation to the Implementation of Internal Audit Recommendations.
• 1) That the Internal Audit Charter be agreed, 2) the Internal Audit Charter be reviewed annually or sooner in the event of any significant changes to the Internal Audit function or the GIAS.
• 1) That the internal audit plan for 2025/26 be approved, 2) that the plan was provisional and may require adjusting and prioritising in the light of any changes in the Council's business, risk operations, programs, systems, controls and organisational culture, be noted.
• That the work programme 2025/26 be noted.