The Audit & Governance Committee of Oxfordshire County Council met on Wednesday 20 May 2026, approving the Annual Governance Statement for 2025/26 and endorsing the Chief Internal Auditor's annual report. The committee also noted the Internal Audit Strategy and Plan for 2026/27 and approved the Internal Audit Charter for the same year.

Chief Internal Auditor's Annual Report

The committee received the annual report from the Head of Internal Audit and Counter Fraud, Sarah Cox. Members noted that the council's internal audit service fully conforms to the Global Internal Audit Standards in the UK Public Sector. The report indicated that for the 12 months ending 31 March 2026, there was satisfactory assurance regarding Oxfordshire County Council's overall control environment and its arrangements for governance, risk management, and control. While some audits received a red conclusion, indicating weaknesses, management action plans were in place and being monitored. The committee requested that future reports include a column detailing the total number of overdue actions.

Internal Audit Strategy and Plan 2026/27

The committee discussed the Internal Audit Strategy and Plan for 2026/27, acknowledging the significant impact of Local Government Reorganisation (LGR) on the council's future structure. The plan is designed to be agile and responsive to emerging risks and changing priorities during this transitional period, with a portion of internal audit days reserved to support LGR. The committee noted that some medium-priority actions from the current plan would not be carried forward into the LGR period.

Internal Audit Charter 2026/27

The committee approved the Internal Audit Charter for 2026/27, which outlines the purpose, mandate, and reporting relationships of the internal audit function in accordance with the Global Internal Audit Standards. The Quality Assurance and Improvement Programme for the same period was also noted.

Statement of Accounts 2025/26

The Chief Accountant confirmed that the Statement of Accounts for 2025/26 would be published on 30 June.

External Auditor's Audit Planning Report 2025/26

Ernst & Young presented their audit planning report for 2025/26. Members were informed that issues identified with the implementation of International Financial Reporting Standard (IFRS) 16 had been resolved. Ernst & Young expressed confidence that the council was in a good position to further rebuild assurance over its accounts, with the audit expected to be completed by the end of November 2026. The committee noted the report.

External Auditor's Pension Fund Audit Planning Report 2025/26

Ernst & Young also presented their audit planning report for the Pension Fund. Members were informed that while timeliness and quality of evidence had required improvement in the 2024/25 audit, resourcing constraints had been addressed. The committee noted the report.

Annual Governance Statement 2025/26

The Director of Law and Governance and Monitoring Officer presented the Annual Governance Statement (AGS) for 2025/26. The statement concluded that the council's governance arrangements were adequate and provided a platform for achieving its priorities in 2026/27. Two amendments were noted: the inclusion of Councillor Tim Bearder as Leader of the Council and a clarification regarding the IBC report. Members raised questions about the inclusion of tackling discrimination in the Strategic Plan and the review of the People and Culture Strategy in light of LGR. The committee approved the AGS, subject to final consultation.

Constitution Working Group Report

The Director of Law and Governance and Monitoring Officer presented the report on proposed changes to the council's Constitution. Members approved several amendments, including those related to questions on notice at Full Council, the Oxfordshire Joint Health Overview and Scrutiny Committee, and the Contract Procedure Rules. They also noted proposed changes to the Officer Scheme of Delegation to reflect the new management structure. The committee recommended that the Council formally approve these amendments.

Audit Working Group Update

The Head of Internal Audit and Counter Fraud provided an update on the Audit Working Group's activities. Members noted that the Audit and Governance Self-Assessment would take place in June, and that audits for Safeguarding Transport and School Attendance would be reconsidered in October. Kate Cartwright resigned her membership of the Audit Working Group. The committee noted the update.

Audit & Governance Work Programme 2026/27

The committee noted the Audit & Governance Work Programme for 2026/27. Members also noted that the Fire and Community Safety Annual Report would be tabled on 15 July. Discussions also covered Local Government Reorganisation (LGR), with the committee agreeing to consider it in September. Members also resolved to meet in private with internal and external auditors before the November meeting and to receive training on Treasury Management before the January 2027 meeting.