Agenda item

The Internal Audit Plan provides the mechanism through which the Chief Internal Auditor can ensure most appropriate use of internal audit resources to provide a clear statement of assurance on risk management, internal control and governance arrangements. This report presents the plan for 2025-26 for approval by the Committee.

[15 Minutes]

          Upon the invitation of the Chair, the Deputy Head of SIAP presented the Internal Audit Charter to Committee. He reminded Members that the new global internal audit standards had been brought to the December meeting, as the standards had undergone significant revision, and these new standards would be effective from 01 April 2025. The Charter had therefore gone through revision to ensure it met those new standards. Some of the Charter would be familiar to Members, however as there had been significant revision it should be considered as a new document. The Charter was an important document that covered key areas such as SIAPs authority, roles and responsibilities, resources necessary to deliver the Internal Audit Plan, and it outlined the ethics, professionalism, independence and objectivity, also detailing the reports that would be delivered during the year.

          It was asked whether the Council would be ready for the new global internal audit standards coming into effect on 01 April 2025. The Deputy Head of SIAP explained that all required documentation would be in place for the new standards, and they were confident that all required actions had been carried out in order to be ready for these.

          The Audit Manager presented the Internal Audit Risk-Based Plan, which had been compiled in line with the requirements as set out in the global internal audit standards. He thanked all Group Heads and Directors for their engagement throughout the planning process. He highlighted some key points as follows: page 113 – conformance to standards, which reflected the changes in standards. The current external quality assessment remained valid, but was due for renewal this year and would be assessed under the new global internal audit standards; page 114 - developing internal audit plan – outlined key processes SIAP had undertaken in compiling the plan; page 115 - internal audit resources. This was a new section setting out elements of internal resourcing and how this was managed; page 116 – resourcing the internal audit plan, gave a further breakdown of utilisation of audit days; page 116 reiterated SIAP’s independence; page 117 showed the plan itself and outlined the scope of audit coverage for the year. He reminded Members the plan was dynamic and subject to change. SIAP would continue to carry out quarterly check-ins with the Corporate Leadership Team. They envisaged as the position regarding devolution and local government reorganisation became clearer, this would have an impact on the plan. Any changes would be brought to committee via progress the report.

           The Chair asked about the Local Plan and how devolution may impact the assessment of that being a priority. SIAP would remain mindful of this, taking it into account, and making sure the plans remained dynamic. The Group Head of Finance and Section 151 Officer explained it was too early to determine the impact, and for now it would be business as usual.

          It was asked why tree safety was established as high priority, to be undertaken early on, and whether this covered only Arun District Council (ADC) trees, and not other trees within the District. The Audit Manager confirmed this covered only ADC trees, and this was seen as an increasing risk to all authorities, and the timeliness needed to fit around service availability.

The recommendations were proposed by Councillor Wallsgrove and seconded by Councillor O’Neill.

The  Committee

RESOLVED that

1)    The Internal Audit Charter 2025-26 (appendix A) be approved;

2)     The Internal Audit Risk-Based Plan 2025-26 (appendix B) be approved.