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Issue - meetings

Exempt Reports Under the Local Government Act 1972

Meeting: 29/09/2021 - Audit and Performance Committee (Item 4)

4 Audited Accounts and Statement of Accounts pdf icon PDF 284 KB

To receive and review the audited Statement of Accounts for the Council and the Pension Fund following a public inspection period of the accounts from 19th May 2020 to 1st July 2020. To receive the report by the external auditors, Grant Thornton.

 

Additional documents:

Minutes:

4.1       The Committee received the audited Statement of Accounts and Pension Fund report for the financial year ending 31 March 2021, and the reports of Grant Thornton, the Council’s external auditors.

 

4.2       The Committee was provided an overview by Gerald Almeroth (Executive Director, Finance and Resources) who highlighted that, as a result of the audit, there had been some revisions to the draft accounts previously presented to the Committee in July. The Committee was advised that the recommendation was for agreement of the accounts and audit reports.

 

4.3       Gerald Almeroth noted that the Value for Money conclusion was on a different timescale and would be expected prior to the end of November 2021.

 

4.3       Jake Bacchus (Director of Corporate Finance) commented on the audit process, explaining there had been improvements to methodology including around valuations, the accuracy of which was considered particularly important as Westminster City Council had sizeable infrastructure assets. The Committee heard that historical audit recommendations had also been addressed, and the internal controls had been improved. The accounts were therefore considered robust.

 

4.4       Joanne Brown (Audit Partner, Grant Thornton) introduced the audit finding reports for the Council and its Pension Fund. The anticipated opinion was unmodified, subject to any upcoming concluding matters. Joanne Brown commented that the readiness of the accounts was reflective of the level of work put into those accounts by Council officers, and that Westminster was in a small minority of local authorities whose accounts were ready at this stage. She thanked officers for being receptive to feedback and implementing changes.

 

4.5       Laurelin Griffiths (Grant Thornton) explained that the regular Pension Fund audit was generally a smooth procedure and that this audit had been no different. The Committee was advised that the Council’s Audit Findings Report had seen outstanding items addressed, and that final quality reviews were proceeding. The Committee also heard that this report included new significant risks, regarding revenue and expenditure recognition – which were noted as being risks for local authorities generally, not specifically Westminster, and were a result of the COVID-19 pandemic’s impact on funding and expenditures.

 

4.6       The Committee discussed charges relating to new investments for the Pension Fund, and observed that the audit fee was yet to be confirmed. Gerald Almeroth and Joanne Brown confirmed that the fee was at that time disputed with the Public Sector Audit Appointments (PSAA) as the authority which appointed auditors for local authorities.

 

4.7       The Committee queried the significance of the reclassification of Luton Street Development LLP as a joint venture. This was confirmed as being significant in terms of difference in technical changes to accounting processes, but because no cost changes resulted from the reclassification, the change represented no overall significance in terms of costs to the Council.

 

4.8       RESOLVED: That the Committee note the accounts and audit report.