The role of an Audit Committee

Audit Committees are an essential element of good governance and this is best delivered by a Committee which is independent from the Executive and Scrutiny functions.

An effective Governance and Audit Committee can assist in raising the profile and importance of internal control, risk management and financial reporting arrangements.

The main issues that the Governance and Audit Committee can effectively deal with are:

• Consider the effectiveness of the Authority’s risk management arrangements, the control environment and associated counter fraud and corruption arrangements;
• Seek assurances that action is being taken on risk-related issues identified by auditors and inspectors;
• Be satisfied that the Authority’s assurance statements, including the Annual Governance Statement (AGS), properly reflect the risk environment and any actions required to improve it;
• Oversee the application of the council's governance arrangements for partnership activities where the council is the accountable body and/or employer;
• Approve (but not direct) internal audit’s strategies and plans;
• Review summary internal audit reports and the main issues arising, and seek assurance that action has been taken where necessary;
• Receive the annual report of the head of internal audit;
• Consider the reports of external audit and inspection agencies,
• Ensure that there are effective relationships between external and internal audit, inspection agencies and other relevant bodies, and that the value of the audit process is actively promoted;
• Review the financial statements, external auditor’s opinion and reports to Members, and monitor management action in response to the issues raised by external audit.

The Governance and Audit Committee meets on a quarterly basis, and is chaired by Councillor Jason Savage.  As an assistance to members, a guidance pack has been produced which includes the following:

• Terms of reference
• Member guidance
• Programme of reports
• Internal Audit plan
• Committee roles and functions (Governance and Audit Committee, Overview and Scrutiny and Standards)
• Key questions
• Final Accounts guidance 
• Governance Framework summary
• Risk-on-a-Page (PDF 32KB)
• Fraud Facts (PDF 41 KB)

To complement this Member Committee, the Council has in place the Governance Group, which is made up of all Directors, the Head of Legal and Democratic Services, the East Kent Audit Partnership, the Corporate Resources Manager, Communications and the Corporate Governance and Risk Officer.

Nikki Morris

Business Support and Compliance Manager

E-mail: nikki.morris@thanet.gov.uk

Tel: 01843 577625