The report of the Engagement Lead is attached.

Contact: Grant Patterson (0121) 232 5296

The Committee received the report of the Executive Director of Resources (Section 151 Officer) - copy attached to the signed Minutes – which provided for the final approval of the Statement of Accounts for 2022/23, following completion of the audit of the accounts.  The Committee also received the report of the Engagement Lead - copy attached to the signed Minutes – which set out the Audit Findings for 2022/23.

In respect of the two queries raised on the 2021 accounts, the Engagement Lead confirmed that one had been answered but the second one was still in progress and it was hoped to bring the response to the February 2024 meeting of the Audit Committee. A query was raised as to whether that meant that the 2021 accounts had not been signed off.  In response, the Engagement Lead explained that he had signed the opinion on the financial statements but had not certified the audit closed.  It was hoped to certify all of the audits closed in February.

The External Audit Senior Manager informed the Committee that there had been significant progress since the report had been written.  There had been one material adjustment which related to pensions adjustment of £29.1m so the opening balances for 2022/23 had changed however they were satisfied that that adjustment had now been made in the 2022/23 accounts.  She confirmed that there were currently no unadjusted mistakes to note.  Many of the outstanding matters had now been closed and she gave a verbal update on the red flagged items. 

The External Audit Senior Manager reported that a response had been received from the valuer for both investment property and other land and building valuation inputs.  They had reviewed the investment property points which had led to some minor queries for the valuer however for other land and buildings this was more complex as there was more variation in the sample and they were working through that and hoped to get the queries to the valuer the following week in order to draw this to a conclusion.  She then took members through each significant risk area and provided an update on each. 

The External Audit Senior Manager drew attention to page 40 of their report which set out the audit adjustments, the main one being the pensions adjustment which had been amended.  She anticipated that an unqualified opinion would be issued.  External Audit thanked the central finance team in particular for their assistance.

RESOLVED:

1.   to approve the 2021/22 Statement of Accounts and that the Chairman of the Audit Committee sign them (in accordance with the requirements of the Accounts and Audit Regulations 2015).

2.   to agree that the Executive Director of Resources be authorised to make any minor adjustments to the Statement of Accounts prior to publication of the audited Statement of Accounts.

3.    to agree that the Executive Director of Resources and the Chairman of the Audit Committee sign the letter of representation in relation to the financial statements on behalf of the Council and send to the External Auditor.

4.    to note the contents of the Audit Findings report for 2022/23.