To update members on the progress of internal audit work and to bring to their attention any key internal control issues arising from work recently completed.  To enable the committee to monitor performance of the internal audit team against the approved plan.  To assure the committee that action is being taken on risk related issues identified by internal audit.

It was noted that, in addition to the papers in the main agenda pack, a supplement had been published which updated the committee on progress with the key findings and agreed actions in relation to the ‘Public Health Grant Process: Final Report – November 2022’.

The Assistant Director for South West Audit Partnership (SWAP) presented the report on internal audit activity for quarter 3 2022, with attention drawn to the following:

i.             28 audits were complete, 2 were in draft and 15 were in progress; 11 were planned for quarter 4.  It was noted that there was work continuing on grant certifications and other activity but assurance work had increased over the second half of the year, with 78% of assignments providing an assurance opinion.  It was reported that internal audit work was on track to deliver the programme and to provide an annual opinion.

ii.            Internal audit was aligned to corporate risks but could not cover every aspect.

iii.          The planning process for 2022/23 had commenced and the pipeline would be reviewed, with engagement with the corporate leadership team.

iv.          There were no high corporate risks identified in the quarter.

v.           The table of audits by status illustrated the current position.

vi.          The indicative opinion was of reasonable assurance, with a sound system of governance, risk management and control in place.

vii.         There was limited assurance opinion in relation to ‘Public Health Grant Process: Final Report – November 2022’ and the five Priority 2 and five Priority 3 findings were outlined.

The Director of Public Health provided a summary of the purpose and conditions of the public health ring-fenced grant allocated to the council by the government; this amounted to £9.7m per annum currently.

The committee discussed the report, the principal points included:

1.           A committee member commented on the need for robust monitoring of funding which was passed to third parties to deliver public health services.

2.           In response to a concern expressed by the Chairperson about the public health grant process findings, the Director of Resources and Assurance commented that this was not where the council wanted to be, thanked SWAP for the work undertaken to highlight these matters, noted that there was a clear plan to address the shortcomings, and anticipated that the issue would be referenced in the Annual Governance Statement.

3.           In response to a question from the Chairperson, the Director of Resources and Assurance advised that concerns had not been raised by the Department for Health and Social Care (DHSC) but there was an ongoing dialogue to ensure that public health outcomes were achieved; adding that the council spent more on public health than was received in government grant.

The Chairperson, on behalf of the committee, hoped that the DHSC would be reassured by the fact that internal audit work had been carried out and that areas for improvement had been identified.

4.           In response to questions from the Vice-Chairperson, the Director of Public Health explained the intention to revisit the agreements with  ...  view the full minutes text for item 66