This report presents the Council’s Statement of Accounts for 2018/19. These accounts have been signed by the Director of Corporate Resources on 31st May 2019. They have been published on our website and have been subjected to the relevant inspection period under section 26 of the Local Audit and Accountability Act 2014. No written notice of objection had been received.

On 25th June, the formerly Interim Chief Finance Officer, received a phone call from our External Auditors, EY LLP, explaining that their planned Audit which was to commence the week beginning 1^st July would be delayed and would need to be rescheduled after 31^st July. A meeting was arranged with the Chair of Audit and Scrutiny and the External Auditors to explain the situation and a letter was received dated 3^rd July to notify the Council in writing.

External Auditors have expressed their disappointment with this position and recognise the impact this has on the Council’s resources, reputation and that this position is through no fault of the Council and its finance team. A reschedule of the Audit has been proposed as soon as possible after 31^st July, but no dates have yet been received or confirmed at the time this report was published.

The authority will publish on our website, before the 31st July, the unaudited Statement of Accounts, the Annual Governance Statement and the Narrative Statement, without a certificate or opinion from the local auditor, and accompany these documents with a Notice explaining the reasons for the delay of the audit.

A motion was MOVED by Cllr Nolan and SECONDED by Cllr Tanner to approve the recommendations in the report.

Mr Neil Harris was present and reiterated what was said in the report stating that the reason for the delayed audit was no fault of the Council and its finance team, but due to Ernst & Young’s resource restraints and to safeguard audit quality.  Mr Harris gave assurance that the Council were not in breach of any statutory requirements.

Members raised concerns regarding value for money in relation to their partnership working with other authorities.  Mr Harris saw no reason why Brentwood were not giving value of money and saw no significant risks in this area.

With regard to Planning and Licensing, page 36 in the report, Members asked whether Brentwood Council could be self-financing, which currently as the figures show, is not.  Mr Harris agreed to take this question offline and report back to the Director of Corporate Resources to feedback to the Committee.

Cllr Cloke asked for a breakdown of the Transformation services which the Director of Resource will provide directly to committee members outside of the meeting.

It was noted that the Appendices to the recommendations had been referred to incorrectly.  Subject to these being amended, a vote was taken by a show of hands and it was RESOLVED:

1.         The Annual Governance Statement 2018/19 attached in Appendix B is approved and signed by the Chief Executive and Leader of the Council.

2.         The Unaudited Statement of Accounts 2018/19 attached in Appendix B is considered and approved and signed by the Chair of the Audit and Scrutiny Committee.

3.         The Committee notes the letter received by the External Auditors dated 3^rd July Attached in Appendix A.

4.         The Committee notes paragraph 4.10 and gives delegated authority to the Director of Corporate Resources to agree the final notice that will be published alongside the Unaudited Statement of Accounts 2018/19.

Reason for Recommendations

To enable the Council to meet the requirements of the Accounts and Audit (England) Regulations 2015 in respect of approval of the financial statements and the annual governance statement.