The West London Waste Authority Audit Committee meeting scheduled for Tuesday 20 January 2026 was set to review the Authority's financial standing, risk management, and internal audit reports. Key discussions were expected to focus on the 2024/25 Statement of Accounts, external and internal audit findings, and the Authority's financial regulations.

Risk Register

The committee was scheduled to review the Authority's updated risk register. This report detailed revisions to the Risk Management Policy, aiming to address new change management processes and enhance how the Authority manages risk. The register itself had been updated to reflect recent changes within the Authority, with a particular emphasis on delivering core functions and improving collaborative engagement with the boroughs. The report indicated that following the implementation of mitigation measures, there were no red or high-priority risks identified. The risk register is regularly reviewed by the Senior Leadership Team and Chief Officers.

2024/25 Statement of Accounts

An update on the 2024/25 Statement of Accounts was presented, highlighting key changes from the draft accounts published in June 2025. These included prior year adjustments related to asset valuations (£20.8 million) and deferred income from the PPP contract (£20.1 million). Adjustments were also noted for the manual valuation of properties and the ongoing finalisation of the IFRS 16 transition. The report indicated that finalising the accounts might be delayed, potentially affecting the timing of any excess reserve disbursements to the boroughs. The committee was asked to delegate authority to the Authority's Chair to approve the final financial statements once the audit was concluded by KPMG, and to the Managing Director and Treasurer to approve the disbursement of reserves. An estimated additional fee of £43,000 for KPMG's audit services was also noted, with the potential for this to increase.

External Audit Reports

The committee was scheduled to receive draft reports from KPMG, the Authority's external auditors, concerning the 2024/25 audit and statement of accounts. These included the draft ISA 260 report, the draft Auditors Annual Report, and the draft Management Representation Letter. The reports highlighted a significant weakness identified in governance arrangements related to the temporary closure of the Abbey Road site, stemming from issues in management of the site, culture, employee relations, and health and safety. The Authority had implemented improvements to address these risks, including refocusing the senior leadership team on operations and strengthening reporting routes. A historic procurement issue regarding cumulative spend with one supplier was also noted, which had been identified in the 2023/2024 audit and had mitigation actions implemented in 2024/2025.

Internal Audit Report

An internal audit report on Data Management, conducted by the London Borough of Ealing, was presented. The audit aimed to assess the strength of controls for data management, covering management information and Power BI data. The outcome was a Reasonable Assurance opinion, indicating sound systems of governance, risk management, and control, but with recommendations made to mitigate risks related to data governance and business continuity. Specific findings included the need to update documented procedures for the Management Information (MI) and Power BI (PBI) teams, address the lack of segregation of duties in PBI work, and review access rights to the IWDMS system. Concerns were also raised about the security of Power BI access for boroughs, the lack of formal version control for data and reports, and the absence of comprehensive contingency planning for data management.

Financial Regulations

The committee was asked to approve updated Financial Regulations for the West London Waste Authority. These regulations, last reviewed in 2022, had been updated to align with the CIPFA Financial Management Code. The updated regulations incorporate the Code's six principles: Organisational leadership, Accountability, Transparency, Standards, Assurance, and Sustainability. The document details the responsibilities of various roles within the Authority, including the Leadership Team, Treasurer, Chief Executive, Monitoring Officer, and Budget Holders, covering areas such as capital expenditure, audit requirements, budgeting, reserves, risk management, internal control, and asset management.