Agenda Item No 6


The Vale of Glamorgan Council


Audit Committee 18th November 2014


Report of the Managing Director


Annual Audit Letter 2013/14


Purpose of the Report

1.         To present to Members the Annual Audit Letter for the 2013/14 Financial Year.


That Audit Committee:


1.         Formally consider and endorse the External Annual Audit Letter and refer to Cabinet for approval.

Reason for the Recommendation

1.         To facilitate monitoring of the Audit Function



2.         The review of the Annual Audit Letter is included within the remit of the Audit Committee under its terms of reference as follows;

"To consider the external auditor's annual report and other relevant reports and to make recommendations on their implementation to Cabinet and / or Council as appropriate";

3.         The Appointed Auditor is required under the Public Audit (Wales) Act 2004 to:

Provide an audit opinion on the accounting statements;

Review the Council's arrangements to secure economy, efficiency and effectiveness in its use of resources and;

Issue a certificate confirming that the Appointed Auditor has completed the audit of the accounts.

4.         The letter is designed to communicate their key messages and conclusions to the Council and external stakeholders, including members of the public. 

Relevant Issues and Options

The Annual Audit Letter 2013/14 is attached at Appendix A, it summarises the key issues arising from the work the external auditors have carried out during 2013/14.

5.         In relation to the Statement of Accounts; the Appointed Auditor issued an unqualified audit opinion on the accounting statements confirming that they present a true and fair view of the Council's financial position and transactions.

6.         Overall the Appointed Auditor was satisfied that the Council has appropriate arrangements in place to secure economy, efficiency and effectiveness.

7.         The Appointed Auditor issued a certificate confirming that the audit of the accounts had been completed on 30th September 2014.

Resource Implications (Financial and Employment)

8.         The financial audit fee for 2013/14 is currently expected to be in line with the agreed fee set out in the Annual Audit Outline.

Sustainability and Climate Change Implications

9.         None directly from this report.

Legal Implications (to Include Human Rights Implications)

10.      Local authorities in Wales prepare their accounting statements in accordance with the requirements of the CIPFA/LASAAC Code of Practice on Local Authority Accounting in the United Kingdom.

Crime and Disorder Implications

11.      None directly from this report.

Equal Opportunities Implications (to include Welsh Language issues)

12.      None directly from this report.

Corporate/Service Objectives

13.      This report is consistent with the Council's corporate objectives to ensure effective management of resources

Policy Framework and Budget

14.      The proposals in this report do not contravene the policy framework and budget.

Consultation (including Ward Member Consultation)

15.      No further consultation is proposed.

Relevant Scrutiny Committee

16.      Corporate Resources

Background Papers



Contact Officer

Alan Jenkins Head of Finance and Section 151 Officer


Officers Consulted

Corporate Management Team


Responsible Officer:

Sian Davies, Managing Director