Agenda item

External Audit - Progress Update (verbal)

Minutes:

Mr G Mills (representing the External Auditor) gave an update on the work in which he was involved.  Particular reference was made to the following:

 

·         Work was progressing on the 2021 audit.  Due to an unexpected vacancy the Team had had to be reshuffled and meetings were now progressing with members of the Finance Team to progress the audit over the next couple of months

·         The Barnsley accounts for 2021 were subject to a technical hot review by Grant Thornton Central Technical Team.  This was something that was undertaken on a cyclical basis (every 3 years) with all the major audits.  That Team had raised a number of queries in relation to the draft accounts and these had been shared with the Barnsley Finance Team.  These issues were currently being worked through as they needed to be resolved (and for the Technical Team to be satisfied) before the audit opinion could be released.  It was hoped that all these matters could be dealt within the agreed timeframe for presentation to the Council by the end of November

·         Meetings were progressing between Grant Thornton and Senior Management of the Authority to discuss various issues.  There was an increased focus this year on the Minimum Revenue Position, given some high-profile issues raised nationally.  There was no suggestion that there were any issues for Barnsley but it was an area for increased focus and it was likely that comments would be included within the ISA 260 report

·         The Dedicated Schools Grant Reserve which was in material deficit (which was permitted) would be audited to examine what arrangements the Council had in place to deal with this.  Work was continuing with the Schools Forum and the DfE to come up with an appropriate plan to bring that more into balance in future years.  It was acknowledged, however, that the Council was already doing this.  Comments on this would be included within the Value for Money Review

 

Overall, good progress was being made and there had been a good level of engagement from the Finance Team.  Whilst there was still a significant amount of work to do, things were on track to meet the end of November sign off.

 

Arising out of the discussion, reference was made to the hot review points that were currently being discussed with the Finance Team.  It was noted that the issues arising from the review were still being discussed and the Finance Team were actively involved in discussions with the auditors, subject to satisfactory responses being received, then there shouldn’t be any issues that were materially critical to the audit opinion.  An update on this review would be provided by External Audit at the November Committee meeting.  Points raised were largely around enhancing existing disclosures or queries raised around particular accounting treatments.

 

RESOLVED that the report and update be received.

 

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