Agenda item

6.1

Stephen Bower (Finance Manager) attended the meeting and presented the report.

6.2

The report was requested by the Audit and Standards Committee to provide an update on the position of audit work to deal with potentially fraudulent activity during the current Covid-19 crisis.

6.3

The audit plan for 2020/21 has been under constant review. As the risks have changed within individual audit reviews, so have the risks that the Council has examined. Following discussions with management some audits have been added to the plan to replace reviews which due to changes in activity could not take place this year. These new reviews have mainly focused upon areas which were affected by Covid-19.  The reviews added included Absence recording, Decision Making, Costs of Covid-19, Use of Credit Cards/Payment Cards, Rough Sleepers, Infection Control, Payments to Providers, Free Early Learning, PPE and Staff Expenses for Covid-19.

6.4

It was explained that Payment Cards were used by departments such as Children’s Homes, Repairs and Maintenance and Senior Officers for emergencies.  The cards were locked down and not able to be used for cash and were well monitored and controlled.

6.5

During the first lockdown, the Small Business Grant Fund (SBGF) and the Retail, Hospitality, and Leisure Grant Fund (RHLGF) formed part of the financial support package provided by Central Government which were administered by the Council.  The scheme asked that the Council prioritise speed over in-depth checks and the Commercial and Business Development team established and administered the schemes which saw over 9,000 applications accepted and over £98m paid out to eligible businesses.   Shortly after the start of the schemes BEIS asked for a digital reporting tool be completed each month and Internal Audit undertook this role.  In completing this Internal Audit have examined 174 applications valuing £2m.  No evidence of systematic or organised crime fraud had been detected.  0.5% of claims were found to have been paid in error and work was underway to recover these monies.  At the end of December, just over £300,000 remained outstanding.

6.6

The Fraud Team was very small and provided help and support to officers.  The Fraud e-learning was now complete had been forwarded to HR for inclusion on the Development Hub.  HR had now received the equipment necessary to convert the programme.

6.7

Councillor Simon Clement-Jones thanked officers for the report and asked who scrutinised business continuity.  Gillian Duckworth undertook to find out.

6.8

The Chair thanked officers and noted it was good to know all checks and balances were being carried out.

6.9

RESOLVED: That the report be noted.