Agenda item

Report of the Corporate Director for Finance and Resources

Glenn Hammons, Interim Finance Lead – Technical Finance, presented a report which provided an update on the progress the Council is making with its statement of accounts relating to 2019/20 to 2023/24. The following information was highlighted:

a)  The 2019/20 accounts are presented for the Committee’s approval. There have been a number of changes from the draft accounts that were previously seen by the Committee, such as the knock on impacts from the changes made to the 2018/19 accounts, correction of the treatment of the management fee between the General Fund and the Housing Revenue Account (HRA), updates relating to the Housing Benefit Subsidy Audit, and reclassification of a number of assets and liabilities on the balance sheet.

b)  In relation to the 2020/21 and 2021/22 accounts, in order to meet the statutory requirements for signing off those accounts and the backstop dates, the accounts were published for public inspection on 16 September 2024 which will last for 30 days. The Committee is required to note those accounts, and they will be considered for approval following the public inspection at the Committee’s November meeting.

c)  In relation to the 2022/23 accounts, they are going through their final stages of internal quality assurance with a view of publishing them for public inspection next week. Those accounts will be submitted to the Committee’s November meeting for approval.

d)  Work is underway and progressing well on the 2023/24 accounts, with the aim of publishing those accounts for public inspection by the end of October. There are, however, a number of risks to that timeframe including ensuring the latest position regarding property asset valuations.

The following points were raised in discussion:

e)  The Committee received clarification on the process to changes made to the valuation of the assets on the balance sheet, where in order to make that balance, the appropriate reserves needed to be adjusted as well which were contained within the unusable reserves.

f)  The Committee supported the position taken on the backstopped audits and agreed that the Council would be in a much better position with its accounts.

Resolved:

1)  To take assurance of the current position with the Statement of Accounts for the years 2019/20 through to 2023/24.

2)  To note the Officer Decision taken by the Corporate Director for Finance & Resources and Section 151 Officer with the support of the Best Value Finance Commissioner and in consultation with Chair of Audit Committee relating to the 2019/20 external audit opinion as set out in Section 3.4.

3)  To consider and approve the Statement Accounts 2019/20, Annual Governance Statement 2019/20 and Addendum to the Annual Governance Statement 2019/20 as set out in Appendix 2; and note the draft Management Representation Letter for 2019/20 is to be considered at the November meeting of the Committee.

4)  To note that the draft Statement of Accounts for 2020/21, draft Annual Governance Statement 2020/21 and Addendum to the Annual Governance Statement 2020/21 as set out in Appendix 3 has been published for the statutory public inspection period and will be considered by Audit Committee in November 2024 ahead of the proposed national backstop date.

5)  To note that the draft Statement of Accounts for 2021/22 and draft Annual Governance Statement 2021/22 as set out in Appendix 4 has been published for the statutory public inspection period and will be considered by Audit Committee in November 2024 ahead of the proposed national backstop date.

6)  To take assurance from the progress, indicative timeline and associated risks for publishing the Statement of Accounts for financial years 2019/20, 2020/21, 2021/22, 2022/23 and 2023/24 to meet the proposed national backstop dates as set out in Sections 3.6 to 3.8.