Hampshire County Council
Councillors:
78
Wards:
76
Committees:
49
Meetings (2026):
57
Meetings (2025):
155
Meeting
Audit Committee - Hampshire
Meeting Times
Scheduled Time
Start:
Friday, 26th June 2026
12:00 PM
Friday, 26th June 2026
12:00 PM
End:
Friday, 26th June 2026
4:00 PM
Friday, 26th June 2026
4:00 PM
Meeting Status
Status:
Confirmed
Confirmed
Date:
26 Jun 2026
26 Jun 2026
Location:
Mitchell Room - HCC
Mitchell Room - HCC
Meeting Attendees
Co-opted Member
Satinder Jas
Independent Co-opted Member
Present, as expected
Secretary
Angie Marten
Expected
Independent Group Deputy
Vice Chairman of the Council
Co-opted Member
Madhu Panue
Independent Co-opted Member
Present, as expected
Agenda
0
Election of Vice Chairman
The Chairman called for nominations for the position of Vice Chairman for this meeting only. Councillor Broomfield nominated Councillor Thacker and the nomination was seconded by Councillor Vaughan. As there were no further nominations, Councillor Thacker was duly elected Vice Chairman for the meeting.
Minutes
1
Apologies for absence
To receive any apologies for absence.
Minutes
All members were present.
2
Declarations of Interest
All Members who believe they have a Disclosable Pecuniary Interest in any matter to be considered at the meeting must declare that interest and, having regard to Part 3 Paragraph 1.5 of the County Council's Members’ Code of Conduct, leave the meeting while the matter is discussed, save for exercising any right to speak in accordance with Paragraph 1.6 of the Code. Furthermore all Members with a Personal Interest in a matter being considered at the meeting should consider, having regard to Part 5, Paragraph 4 of the Code, whether such interest should be declared, and having regard to Part 5, Paragraph 5 of the Code, consider whether it is appropriate to leave the meeting while the matter is discussed, save for exercising any right to speak in accordance with the Code.
Minutes
Members were mindful that where they believed they had a Disclosable
Pecuniary Interest in any matter considered at the meeting they must declare
that interest at the time of the relevant debate and, having regard to the
circumstances described in Part 3, Paragraph 1.5 of the County Council's
Members' Code of Conduct, leave the meeting while the matter was discussed, save for exercising any right to speak in accordance with Paragraph 1.6 of the Code. Furthermore Members were mindful that where they believed they had a Non-Pecuniary interest in a matter being considered at the meeting they considered whether such interest should be declared, and having regard to Part 5, Paragraph 5 of the Code, considered whether it was appropriate to leave the meeting whilst the matter was discussed, save for exercising any right to speak in accordance with the Code.
The Chairman declared a personal interest on Item 10 saying that his neighbour was a former Hampshire County Council employee and a member of the Hampshire pension scheme.
Pecuniary Interest in any matter considered at the meeting they must declare
that interest at the time of the relevant debate and, having regard to the
circumstances described in Part 3, Paragraph 1.5 of the County Council's
Members' Code of Conduct, leave the meeting while the matter was discussed, save for exercising any right to speak in accordance with Paragraph 1.6 of the Code. Furthermore Members were mindful that where they believed they had a Non-Pecuniary interest in a matter being considered at the meeting they considered whether such interest should be declared, and having regard to Part 5, Paragraph 5 of the Code, considered whether it was appropriate to leave the meeting whilst the matter was discussed, save for exercising any right to speak in accordance with the Code.
The Chairman declared a personal interest on Item 10 saying that his neighbour was a former Hampshire County Council employee and a member of the Hampshire pension scheme.
3
Minutes of previous meeting held on 5 March 2026
To confirm the minutes of the previous meeting held on 5 March 2026.
Attachments:
- Document Minutes Public Pack, 05/03/2026 Audit Committee 18 Jun 2026
Minutes
The minutes of the meeting held on 5 March 2026 were agreed as a correct record.
4
Deputations
To receive any deputations notified under Standing Order 12.
Minutes
No deputations were received on this occasion.
5
Chairman's Announcements
To receive any announcements the Chairman may wish to make.
Minutes
The Chairman welcomed Members to the first meeting of the Committee following the Full Council meeting and congratulated Councillor Thacker on his appointment as Vice-Chairman.
The Chairman reminded Members that the Committee had a substantial agenda and encouraged questions and discussion to be taken following presentations to assist the efficient conduct of the meeting.
The Chairman reminded Members that the Committee had a substantial agenda and encouraged questions and discussion to be taken following presentations to assist the efficient conduct of the meeting.
6
Information Compliance - Use of Regulated Investigatory Powers
To receive the quarterly update on the County Council’s use of regulated investigatory powers.
Attachments:
- Document 6 2026 June Audit Committee Regulation of Investigatory Powers Act (RIA) report Q3 & 4 18 Jun 2026
- Document 6i RIPA figures - Audit Committee - 2025-26 Year End 18 Jun 2026
Minutes
The Committee received an update on the County Council’s use of regulated investigatory powers during 2025/26. Members were advised that the use of covert surveillance powers had remained limited and continued to reduce, with alternative investigative techniques often achieving the required outcomes. The Committee heard that no directed covert surveillance, covert human intelligence sources or communications data applications had been undertaken during quarters three and four of 2025/26. Members also noted that all authorisations remained subject to judicial approval and that the County Council continued to be subject to inspection by the Investigatory Powers Commissioner’s Office.
RESOLVED:
That the Audit Committee received and noted the data/narrative regarding the
County Council’s use of surveillance powers.
RESOLVED:
That the Audit Committee received and noted the data/narrative regarding the
County Council’s use of surveillance powers.
7
Annual Governance Statement
To consider a report of the Director of People and Organisation, Director of Corporate Operations and Monitoring Officer seeking approval of the Annual Governance Statement for 2025-26.
Attachments:
- Document 7 2026-06-26 Annual Governance Statement Report 25-26 18 Jun 2026
- Document 7i 2026-06-26 Annual Governance Statement 2025-26 clean draft 18 Jun 2026
Minutes
The Committee considered the Annual Governance Statement for 2025/26. Members received an overview of the assurance and governance processes undertaken across the organisation and noted the governance improvement actions identified for the forthcoming year, together with progress made against actions completed during the previous reporting period.
During questions, the Committee heard:
• CIPFA continued to provide professional guidance, governance frameworks and training for local authorities.
• Statutory accounting requirements were established by Government, with CIPFA supporting their practical application.
• Governance assurance was obtained from both Directors and officers with responsibility for corporate governance functions.
• Director-level responses were obtained through a formal questionnaire process.
RESOLVED
The Audit Committee approved the Annual Governance Statement for 2025/26.
During questions, the Committee heard:
• CIPFA continued to provide professional guidance, governance frameworks and training for local authorities.
• Statutory accounting requirements were established by Government, with CIPFA supporting their practical application.
• Governance assurance was obtained from both Directors and officers with responsibility for corporate governance functions.
• Director-level responses were obtained through a formal questionnaire process.
RESOLVED
The Audit Committee approved the Annual Governance Statement for 2025/26.
8
Annual Internal Audit Conclusion 2025-26
To consider a report of the Deputy Head of Southern Internal Audit Partnership regarding the annual Internal Audit Conclusion for 2025-26.
Attachments:
- Document 8 Annual Internal Audit Conclusion - covering report 18 Jun 2026
- Document 8i Appendix A - Annual Internal Audit Conclusion 2025-26 18 Jun 2026
Minutes
The Committee considered the Annual Internal Audit Conclusion for 2025/26. Members noted the overall opinion that the County Council’s framework of governance, risk management and control remained reasonable. The Committee was advised that 91% of the agreed audit plan had been delivered and that external assessment had confirmed conformance with the new standards.
During questions, the Committee heard:
• Two reviews had received limited assurance opinions during the year.
• Findings relating to HR casework highlighted opportunities to strengthen recording and process compliance. There was one action for this audit that remained in progress.
• Management actions arising from audit findings had been implemented and would continue to be monitored.
• Internal audit observations identified risks and opportunities for improvement, with management responsible for determining and implementing actions.
RESOLVED
That the Audit Committee noted the Annual Internal Audit Conclusion for 2025/26 which confirmed that the framework of governance, risk management and control were reasonable.
During questions, the Committee heard:
• Two reviews had received limited assurance opinions during the year.
• Findings relating to HR casework highlighted opportunities to strengthen recording and process compliance. There was one action for this audit that remained in progress.
• Management actions arising from audit findings had been implemented and would continue to be monitored.
• Internal audit observations identified risks and opportunities for improvement, with management responsible for determining and implementing actions.
RESOLVED
That the Audit Committee noted the Annual Internal Audit Conclusion for 2025/26 which confirmed that the framework of governance, risk management and control were reasonable.
9
External Audit: Audit Planning Report - Hampshire County Council
To receive the external auditors Audit Planning Report for Hampshire County Council for 2025/26.
Attachments:
- Document 9 2025-26 - External Audit Planning Report from EY HCC- covering report - June 2026 (002) 18 Jun 2026
- Document 9i Hampshire County Council 2025-26 Audit Planning Report 18 Jun 2026
Minutes
The Committee received the External Auditors Audit Planning Report for Hampshire County Council for 2025/26. Members received an overview of the national arrangements introduced to address the local government audit backlog and heard that work was continuing to rebuild assurance in relation to previously disclaimed audit opinions.
During questions, the Committee heard:
• Historic disclaimer positions arose from the national audit backlog rather than concerns specific to Hampshire County Council.
• Hampshire County Council had consistently received unqualified audit opinions prior to the national backlog.
• Progress was being made against the indicative timetable for rebuilding assurance.
• A value for money risk had been identified in relation to financial sustainability.
• External audit focused on governance arrangements and assurance rather than determining management solutions.
RESOLVED
The Audit Committee received and noted the external auditor’s Audit Planning Report for Hampshire County Council for the year ending 31 March 2026.
During questions, the Committee heard:
• Historic disclaimer positions arose from the national audit backlog rather than concerns specific to Hampshire County Council.
• Hampshire County Council had consistently received unqualified audit opinions prior to the national backlog.
• Progress was being made against the indicative timetable for rebuilding assurance.
• A value for money risk had been identified in relation to financial sustainability.
• External audit focused on governance arrangements and assurance rather than determining management solutions.
RESOLVED
The Audit Committee received and noted the external auditor’s Audit Planning Report for Hampshire County Council for the year ending 31 March 2026.
10
External Audit: Audit Planning Report - Pension Fund
To receive the external auditors Audit Planning Report for the Pension Fund for 2025/26.
Attachments:
- Document 10 2025-26 - External Audit Planning Report from EY Pension Fund - covering report - June 2026 18 Jun 2026
- Document 10i HPF 225 UK Audit Planning_Final for 26th June AC meeting 18 Jun 2026
Minutes
The Committee received the External Auditor’s Audit Planning Report for the Hampshire Pension Fund for 2025/26. Members heard that the overall audit risk assessment remained broadly consistent with previous years and that particular attention would continue to be given to the valuation of Level 3 investments and other complex assets.
During questions, the Committee heard:
• Pension fund liabilities were assessed separately through actuarial valuations.
• Audit work principally focused on the valuation of assets reported within the Pension Fund Accounts.
• Specialist valuation expertise continued to support the audit of complex investments.
The recommendation in the report was “That the Audit Committee receives and notes the external auditor’s Audit Planning Report for Hampshire County Council for the year ended 31 March 2026.” This was amended by the Vice Chairman as he read out the recommendation to refer to the Hampshire Pension Fund instead of HCC.
RESOLVED
The Audit Committee received and noted the external auditor’s Audit Planning Report for the Hampshire Pension Fund for the year ending 31 March 2026.
During questions, the Committee heard:
• Pension fund liabilities were assessed separately through actuarial valuations.
• Audit work principally focused on the valuation of assets reported within the Pension Fund Accounts.
• Specialist valuation expertise continued to support the audit of complex investments.
The recommendation in the report was “That the Audit Committee receives and notes the external auditor’s Audit Planning Report for Hampshire County Council for the year ended 31 March 2026.” This was amended by the Vice Chairman as he read out the recommendation to refer to the Hampshire Pension Fund instead of HCC.
RESOLVED
The Audit Committee received and noted the external auditor’s Audit Planning Report for the Hampshire Pension Fund for the year ending 31 March 2026.
11
Annual Treasury Outturn Report 2025/26
To consider a report of the Director of Corporate Operations giving an update on the performance of the treasury management function during 2025/26.
Attachments:
- Document 11 HCC TM Outturn Report 202526 18 Jun 2026
Minutes
The Committee considered the Annual Treasury Outturn Report for 2025/26. Members heard that Treasury Management activity had been undertaken in accordance with the approved strategy and relevant guidance. The report highlighted the impact of the Dedicated Schools Grant deficit on balances and outlined future borrowing requirements through the liability benchmark.
During questions, the Committee heard:
• Government support towards historic high-needs deficits remained subject to final agreement and approval.
• The funding would improve the immediate position but would not remove ongoing SEND pressures.
• Treasury advisers would continue to monitor market conditions and advise on future borrowing decisions.
• Further work would be required to understand the allocation of assets and liabilities through Local Government Reorganisation.
RESOLVED
The Audit Committee noted the recommendation being reported to Cabinet that the outturn review of treasury management activities be noted.
During questions, the Committee heard:
• Government support towards historic high-needs deficits remained subject to final agreement and approval.
• The funding would improve the immediate position but would not remove ongoing SEND pressures.
• Treasury advisers would continue to monitor market conditions and advise on future borrowing decisions.
• Further work would be required to understand the allocation of assets and liabilities through Local Government Reorganisation.
RESOLVED
The Audit Committee noted the recommendation being reported to Cabinet that the outturn review of treasury management activities be noted.
12
Minutes of the Hampshire Pension Fund Panel and Board Meetings- 12 December 2025 and 20 March 2026 (Less Exempt)
To receive the non-exempt minutes of the Hampshire Pension Fund Panel and Board meetings held on 12 December 2025 and 20 March 2026.
Attachments:
- Document Minutes Public Pack, 12/12/2025 Hampshire Pension Fund Panel and Board 18 Jun 2026
- Document Minutes Public Pack, 20/03/2026 Hampshire Pension Fund Panel and Board 18 Jun 2026
Minutes
The Committee received and noted the non-exempt minutes of the Hampshire Pension Fund Panel and Board meetings held on 12 December 2025 and 20 March 2026.
13
Exclusion of the Press and Public
To resolve that the public be excluded from the meeting during the following item of business, as it is likely, in view of the nature of the business to be transacted or the nature of the proceedings, that if members of the public were present during this item there would be disclosure to them of exempt information within Paragraphs 3 of Part 1 of Schedule 12A to the Local Government Act 1972, and further that in all the circumstances of the cases, the public interest in maintaining the exemption outweighs the public interest in disclosing the information, for the reasons set out in the exempt minutes.
Minutes
The press and public were excluded from the meeting during the following items of business, as it was likely, in view of the nature of the business to be transacted or the nature of the proceedings, that if members of the public were present during these items there would have been disclosure to them of exempt information within Paragraphs 3 and 5 of Part I Schedule 12A to the Local Government Act 1972, and further that in all the circumstances of the case, the public interest in maintaining the exemption outweighed the public interest in disclosing the information, for the reasons set out in the minutes.
14
Minutes of the Hampshire Pension Fund Panel and Board Meetings 12 December 2025 and 20 March 2026 (Exempt Appendices)
Attachments:
- Document Minutes - Exempt 320, 12/12/2025 Hampshire Pension Fund Panel and Board 18 Jun 2026
- Document Minutes - Exempt 323, 12/12/2025 Hampshire Pension Fund Panel and Board 18 Jun 2026
- Document Minutes - Exempt 336, 20/03/2026 Hampshire Pension Fund Panel and Board 18 Jun 2026
- Document Minutes - Exempt 337, 20/03/2026 Hampshire Pension Fund Panel and Board 18 Jun 2026
- Document Minutes - Exempt 338, 20/03/2026 Hampshire Pension Fund Panel and Board 18 Jun 2026
- Document Minutes - Exempt 339, 20/03/2026 Hampshire Pension Fund Panel and Board 18 Jun 2026
Minutes
The Committee received and noted the exempt minutes of the Hampshire Pension Fund Panel and Board meetings held on 12 December 2025 and 20 March 2026.
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