Agenda item

To receive the independent external auditors, Ernst &Young (EY), Annual Report for 2021/22.

Members considered the Auditor’s Annual Report 2021/22 report presented by Mark Saunders, Chief Accountant.

Members asked questions, made comments, and received responses as follows:

·       Councillor Booth expressed surprise at the increase in fees as the majority of the work had been completed in previous years, particularly the land valuations. Mark Saunders agreed with Councillor Booth and stated there will be justification why the work was required and why the figures have increased, with the Council having to undertake another pension valuation due to the time scale of the audit which meant the OS19 was out of date and has added to the rise in cost.

·       Councillor Booth stated pension figures can have an effect on the overall cost as they fluctuate and asked if the Covid crisis had any input regarding the increased fee due to administering grants on behalf of the Government? Mark Saunders responded it was additional work and costs were similar for 2020/21 and the PSAA will determine whether the costs are justified.

·       Councillor Booth asked if the PSAA ask for the Council’s feedback on the fees to see if the Council feel it is justified? Mark Saunders responded that they do not ask for any input on the determination of the fee.

·       Councillor Nawaz commended the report and the prudent and fiscal management and this Council, if it is compared to some others in the country, appears to be in safe hands, which is a credit to note. He asked for elaboration on Page 7, Paragraphs 2 and 3, as whilst he understands how these figures are arrived at where were the savings made and where it says including staff vacancies what has been undertaken to alleviate the issue and has that led to any under delivery of services. Mark Saunders responded that there has been no under delivery of services and the breakdown of those figures are detailed in the financial statements and Cabinet outturn report. He referred to staff vacancies, when a post becomes vacant it can take a while to get a new person into post and it depends upon what type of vacancy it is as to whether the Council recruits a temporary person so there can often be a saving to be had by staff salaries and the cost of replacing this vacancy but it depends upon the job as to whether agency staff are required. Councillor Nawaz asked what the current position is relating to vacancies? Mark Saunders responded that there are still some vacancies in several areas which the Council is addressing in a difficult and challenging environment, acknowledging that agency costs are significantly more than what would be paid for a permanent member of staff. Councillor Nawaz made the point that this is a Council that has not raised Council Tax so the financial performance should be commended.

·       Councillor Booth stated planning has the biggest staffing shortage and asked if this is where a lot of the agency staff have been needed? Mark Saunders responded that for the past two years there has been shortages but things are improving.

Members noted the Auditor’s Annual Report 2021/22.