Agenda item

This report sets out the draft Annual Governance Statement (AGS) for 2024-25 as required by the Accounts and Audit Regulations 2015.

Members are asked to note that the AGS is being presented to the Audit & Standards Advisory Committee for consideration, in advance of referral on to the Audit and Standards Committee for formal approval

(Agenda republished to include the attached report on 12 June 2025)

Marsha Henry, Director of Law, introduced a report from the Corporate Director finance & Resources that set out the draft Annual Governance Statement (AGS) for 2024-25 as required by the Accounts and Audit Regulations 2015.

In presenting the report the Committee noted:

• The seven core governance principles introduced by CIPFA upon which the review of governance arrangements and production of the AGS had been based, as detailed in section 3.5 of the report.

• That no significant governance issues had been identified relating to 2024-25, however some areas of improvement had been identified, as detailed in section paragraph 5 Table 1 within the Annual Governance Statement.  The AGS had also included reference to the outcome of the Corporate Peer Challenge and comprehensive action plan produced in response, the Procurement Review as well as the Council’s self-referral to the housing regulator along with work being undertaken to deliver a refreshed People Strategy accompanied by an updated Equity, Diversity & Inclusion (EDI) Strategy and introduction of the “embrace change” programme .  Details were also provided in relation to progress made in delivery of the Improvement Plan from 2023-24, as set out in section 3.11 of the report.

• The importance of the AGS in outlining the Council’s framework of control in relation to its Governance arrangements and in terms of managing risk, with the review of effectiveness in relation to governance related issues an ongoing process involving officers responsible for key elements of the governance framework as well as members of the Corporate Governance Group, who throughout the year have oversight of governance related issues, supported by the Code of Corporate Governance which had been adopted by the Council and was included as Appendix B to the report.

Having thanked Marsha Henery for presentation of the report, the Chair advised members that they were being invited to comment on the draft AGS in advance of its formal consideration and approval by the Audit and Standards Committee. As a result, the following issues were highlighted:

• In noting the assurance included relating to the role of the Audit & Standards Advisory Committee, the Committee were pleased to note that no significant governance issues had been identified within the AGS although reference was made to the need to ensure paragraph 4.13.3 was updated to reflect the key recommendation and areas for improvements identified as part of the External Audit of the Council’s 2024-25 Statement of Accounts (as opposed to 2022-23 currently referenced in the AGS) and improvement actions identified as a result of the annual review of governance.

·       Members were also keen to ensure that a review of section 5.4 within the AGS was undertaken in relation to the Council’s Self-Referral to the Regulator of Social Housing which it was felt should also include reference to the recorded survey information held in relation to Council Stock. The Committee were reminded that whilst the council had reported it held stock data on 95% of its homes it had subsequently been identified that it did not hold recorded survey information on over 50% of these properties.

·       Following reference to the action plan developed in response to the Corporate Peer Challenge and support expressed for the reference included with the AGS to the focus on activity designed to break down the silo culture and enhance collaboration and communication between departments, especially in relation to development of the radical place leadership programme and delivery of the Medium Term Financial Strategy, members requested that they be provided with a copy of the Corporate Peer Challenge Action Plan (presented to Cabinet 7 April 25) & Radical Place Leadership update (presented to Health & Wellbeing Board on 2 April 25) – for reference purposes.

As there were no further comments raised, the Chair thanked officers for the report and it was RESOLVED to recommend the Annual Governance Statement to the Audit & Standards Committee for formal approval, subject to:

(1)  review and amendment (as felt necessary) of reference to the key recommendations and improvement actions from External Audit VFM report for 23-24 in section 4.13.3 of the AGS; and

(2)  review of section 5.4 relating to the Council’s referral to the Regulator of Social Housing and data held on the Council’s stock condition surveys.

(3)  confirmation being provided in paragraph 4.9.1 that the Audit & Standards Advisory Committee had met on 8 rather than 7 occasions during 2024-25.