To provide an overview of the stages followed prior to the formulation of the Annual Internal Audit Plan for 2022/23.
The Internal Audit Plan provides the basis for the Annual Audit Opinion on the overall adequacy and effectiveness of South Holland District Council’s framework of governance, risk management and control (report of the Head of Internal Audit enclosed).
Consideration was given to the report of the Head of Internal Audit which provided an overview of the stages followed prior to the formulation of the Annual Internal Audit Plan for 2022/23.
The Internal Audit Plan provided the basis for the Annual Audit Opinion on the overall adequacy and effectiveness of South Holland District Council’s framework of governance, risk management and control.
The Strategic and Annual Internal Audit Plan 2022/23 was attached as an appendix to the report.
The Head of Internal Audit introduced the report and highlighted the following points:
· In formulating the Audit Plan, consideration had been given to areas which could be provided by each Internal Audit provider.
· Consideration had been given to the Authority’s Strategic Risk Register and any previous assurance gradings given, and a plan of work had been formulated which gave the Authority assurance over the key risks.
· Leisure was included within the first half of the year.
· 170 days in total had been built in for 2022/23.
· Members were invited to provide any feedback and comments on individual areas for audit.
The following points were raised:
· When considering audits for the year ahead, was there capacity built in to accommodate unannounced audits where no pre-warning was given?
o The Head of Internal Audit advised that the process followed was the risk-based internal auditing approach, driven by the key risks faced by the Council at that time, and in line with the Public Sector Internal Audit Standards. Any internal audit provider would consider this when putting their plan together. Picking audits at random would be good however, in view of coverage and best use of that coverage, a plan with risk in mind was more important.
o The Chairman suggested that members should feed in suggestions for audits of any areas that they felt should be looked at.
o The Assistant Director – Finance advised that, built into the audit plan days, there was capacity for the S151 Officer and other officers of the Council to instruct auditors to investigate specific areas that they felt would benefit from an audit. An example of this was the audit around Fuel Cards, which had not been included in the original audit plan. The S151 Officer reserved the right to flex the audit plan to address any perceived risks to the Council.
· As detailed within the report, the 2022/23 plan provided details of the audit work that would be undertaken in the year by both TIAA and Assurance Lincolnshire
That the Annual Internal Audit Plan 2022/23 be noted and approved.