Report of: Head of Financial Services

Purpose of report: to submit the Council’s Statement of Accounts and Letter of Representation for approval and authorisation.

The Statement of Accounts is attached as a separate supplement.

Recommendations: That the Committee:

1.      approve the audited 2016/17 Statement of Accounts as certified by the Head of Financial Services and authorise the Chair of the Committee to sign the Accounts; and

2.      approve the Letter of Representation to enable the opinion to be issued (paragraph 12).

The Committee considered the report of the Head of Financial Services and the Council’s Statement of Accounts and Letter of Representation.

The Committee noted:

• The accounts were again unqualified and with limited comments, reflecting the continuing high standards set by the finance team. There were no uncorrected misstatements and no changes other than those in the report.
• The closure process was becoming smoother, but the companies and LLP joint venture added complexities which needed to be recognised.
• The companies added five sets of separate accounts with end-of-year aligned to 31 March but different reporting deadlines. Tax advice and some services were provided externally but there was a demand on internal staff time. The need for separate external auditors and audits added to the complexity. As the companies became larger, better regulation, quality assurance, and resources would be necessary.
• The 2017/18 accounts would be produced to the earlier deadlines and in a new format as required by changes in regulations.

The Committee resolved to:

1.            approve the audited 2016/17 Statement of Accounts as certified by the Head of Financial Services and authorise the Chair of the Committee to sign the Accounts; and

2.            approve the Letter of Representation to enable the opinion to be issued (paragraph 12).

The Chair signed the accounts and the Letter of Representation.

Report of: the Head of Financial Services.

Purpose: to present the Council’s Statement of Accounts for the year ending 31 March 2017 to the Audit and Governance Committee (attached as a supplement to this agenda).

Recommendation: that the Committee note the contents of the Statement of Accounts certified by the Head of Financial Services (Section 151 Officer) prior to their submission to the external auditors.

The Committee considered the report of the Head of Financial Services presenting the Council’s Statement of Accounts for the year ending 31 March 2017 (attached as a supplement to the agenda).

The Head of Finance presented the report and the Statement of Accounts including an account of the reasons for slippages and variances on the capital programme.

The Committee noted answers to questions including:

·         The valuation office was still processing business rates appeals;

·         Any extra funding (likely to be in excess of £1m) required for remedial works to the cladding on tower blocks as a result of fire safety tests would need to be funded from reserves: this would be picked up as a note on the 2016/17 accounts. The request would be put to the City Executive Board and Council for approval.

The Committee resolved to note the Statement of Accounts certified by the Head of Financial Services (Section 151 Officer) prior to their submission to the external auditors.