Agenda item

To present the report of the Head of Profession (HR) and Transformation.

The report of the Head of Profession (HR) and Transformation incorporating the draft Annual Governance Statement (AGS) for 2022/23 was presented for the Committee’s consideration.

The report was presented by the Programme, Business Planning and Performance Manager. To demonstrate good governance the Council must show that it is complying with the core (and supporting) principles contained within the CIPFA/SOLACE Framework for Delivering Good Governance in Local Government. The draft Annual Governance Statement has been prepared in accordance with those principles. The Annual Governance Statement for 2022/23 has been streamlined in form and content following the presentation of the Local Code of Governance to the Committee in December, 2022. The Statement sets out the Council’s scope of responsibility and expectations regarding how it conducts its business, the Governance Framework and the elements contained therein, how the effectiveness of the governance framework is evaluated and the assessment of performance against the core principles along with a progress update on issues identified in last year’s Statement. Although no significant governance matters were identified for the year ending 31 March, 2023, the assessment process did identify a number of governance issues that will be addressed in 2023/24 as noted within the Statement. The Statement seeks to provide assurance about the Council’s arrangements for the governance of its affairs including its ability to identify opportunities for further improving governance and the management of risk and resources. The Statement has been through an internal process having been considered by the Leadership Team and by the Head of Audit and Risk.

In considering the Annual Governance Statement the Committee raised the following points –

·      The meaning of “significant” as it applies in the context of no significant governance matters having been identified for the year ending 31 March 2023.

The Committee was advised that in relation to the Governance Statement a significant matter would be any matter that affects the Council’s ability to fulfil its statutory duties and to deliver the strategic objectives as set out in the Council Plan for 2023-28. No such matter has arisen as evidenced by the regular update reports and regulatory review reports presented to the Committee during the year. Additionally, the annual report of the Head of Audit and Risk setting out the chief audit executive’s formal audit opinion for the year ending 31 March, 2023 did not find any areas of significant corporate concern.

·      The ways in which the corporate scorecard as an effective performance management tool might be further enhanced and whether the process for reviewing the indicators for inclusion on the scorecard should be expanded to include members of the Governance and Audit Committee to provide an additional perspective.

The Committee was advised that the Corporate Scorecard is in the process of being reviewed to ensure that it aligns with the newly approved Council Plan for 2023-28. The Council’s governance framework of which the Corporate Scorecard is a component is reviewed and refined annually to ensure it remains effective and while it would be impractical to bring the Governance and Audit Committee into the review of the scorecard for 2023/24 mid-process, the suggestion will be considered when reviewing the scorecard for 2024/25.

·      Whether the monitoring of the Council’s capital project activity would benefit from the establishment of a dedicated programme management office to provide oversight and scrutiny of the delivery of the Council’s capital projects.

The Committee was advised that the suggestion for a programme management office for capital projects would be taken back to the Leadership Team for consideration.

Having reviewed the document, the Governance and Audit Committee resolved to approve the draft Annual Governance Statement 2022/23 that will form part of the 2022/23 Statement of the Accounts.