Agenda item

To consider the report of the Head of Finance, Procurement and Commercial Services. - report to follow.

Consideration was given to the report of the Head of Finance, Procurement and Commercial Property as contained on pages 115–138 of the Book of Reports, the purpose of which was to receive an update from the Council's external Auditors, Grant Thornton, on a range of different matters.

The Chairman invited Gerard Small from Grant Thornton to present the Progress Report to the Committee. Gerard explained Grant Thornton's approach to audit and the areas of risk to be considered. He confirmed their commitment to work to the highest standards and provide quality audits despite the challenges resulting from the Coronavirus Pandemic, which are impacting the way they work resulting in an increase of their fees. He also advised of the shift in attitude of the Financial Regulator's (The Financial Reporting Council) expectations, when they carry out audits meaning more time is now spent on the details of the Audit by their Management, increasing the quality of the audit.

Comments and questions were raised regarding the following:

·         The liability of the pension fund 

·         20% increase of fees.

·         Grant Thornton being the Councils auditors and the pension fund auditors and therefore appearing to not agree with themselves when pension issues are raised separately with each authority.

·         Grant Thornton auditors remaining independent and autonomous, and must challenge each other's opinions. Must be treated as separate bodies.

·         Similar fee increases being experienced across the County.

·         When is the tender due for renewal

RESOLVED: That the updates be noted.