URL: https://rother.moderngov.co.uk/ieDecisionDetails.aspx?ID=2013

Decision Maker: Audit Committee

Outcome: Recommendations Approved

Is Key Decision?: No

Is Callable In?: No

Purpose: To report the proposed programme of Internal Audit work for the coming year.

Content: Consideration was given to the report of the Audit Manager (AM) on the Internal Audit Plan for 2026/27 (IAP).  The Global Internal Audit Standards required that the AM communicated the IAP and resource requirements, including significant interim changes, to senior management and the Audit Committee (AC) for review and approval.   Attached at Appendix A to the report was the assurance map which provided a visual representation of the various sources of assurance received by an organisation on its management of key service areas.  Its purpose was to assist the Council’s understanding of the assurance received, to evaluate its adequacy, and to highlight any potential gaps in coverage.  The assurance map was last reported to the AC in March 2025 and updated for the current position.  The assessment methodology was set out in Appendix B to the report.  This year had seen significant improvement, with Estates and Health and Safety remaining the only high and medium risk areas, both of which were included in the IAP.   A risk assessment was undertaken by the AM in February 2026, incorporating all new and emerging risks identified through discussions with officers in the Corporate Leadership Team.  High risk activities were included in the new IAP, unless they had been reviewed recently and were subject to follow-up.  Medium risk activities were typically reviewed every two to three years, while low risk activities were excluded to ensure efficient use of audit resources.   The 2026/27 IAP was attached at Appendix C to the report.  Additional high and medium risk areas considered but not included in the final IAP were listed for information in Appendix D to the report.   The AM prepared the IAP in accordance with the Internal Audit Charter 2025, with support from the Corporate Leadership Team (CLT).  The IAP allocated 512 audit days across 19 separate audit reviews / consultancy activities, including counter fraud work.  A substantial proportion focused on Governance Audits, as weaknesses in these areas could affect the External Auditor’s overall opinion of the Council’s financial statements.   Appendix E to the report confirmed that the 2026/27 IAP could be delivered in full using existing staff resources.   Progress against the IAP would be monitored by the AM and reported to the AC quarterly.  The AM, in consultation with the CLT, would also keep the IAP under review and adjust as necessary to ensure it remained aligned with the Council’s priorities.   The IAP must provide sufficient coverage to meet the Council’s statutory obligations.  Internal Audit would achieve this by prioritising high and medium risk activities across key service areas.   Members approved the IAP and expressed their appreciation for the AM’s work.   RESOLVED: That the Internal Audit Plan 2026/27 be approved.   (Councillor Coupar declared an Other Registrable Interest in this matter in so far as she was a Director of the Rother DC Housing Company Ltd and in accordance with the Members’ Code of Conduct remained in the meeting during the consideration thereof.)

Date of Decision: March 23, 2026