Test Valley Borough Council
Councillors:
43
Wards:
21
Committees:
17
Meetings (2026):
29
Meetings (2025):
92
Meeting
Audit Committee - Test Valley
Meeting Times
Scheduled Time
Start:
Monday, 15th December 2025
5:30 PM
Monday, 15th December 2025
5:30 PM
End:
Monday, 15th December 2025
9:30 PM
Monday, 15th December 2025
9:30 PM
Meeting Status
Status:
Confirmed
Confirmed
Date:
15 Dec 2025
15 Dec 2025
Location:
The Annexe, Crosfield Hall, Broadwater Road, Romsey, Hampshire, SO51 8GL
The Annexe, Crosfield Hall, Broadwater Road, Romsey, Hampshire, SO51 8GL
Meeting Attendees
Officer
Director of Finance and Revenues
Carl Whatley
Expected
Officer
Internal Audit Manager
Jan Balfour
Expected
Public
Independent Member
Mark Catlow
Present, as expected
Agenda
1
Apologies
Minutes
The Chairman reported an apology from Councillor Flood, the Finance and Resources Portfolio holder, although not a member of the Committee usually attends in her role as the Portfolio Holder.
2
Public Participation
Minutes
There was no public participation.
3
Declarations of Interest
Minutes
Mark Catlow, Independent Member, wished it to be noted that he was no longer employed by the Chartered Institute of Public Finance and Accountancy (CIPFA).
4
Urgent Items
Minutes
There were no urgent items for consideration.
5
Minutes of the previous meeting
To approve as a correct record the minutes of the meeting held on 22 September 2025.
Attachments:
- Document $$Minutes 05 Dec 2025
Minutes
Councillor Parker proposed and Councillor L Lashbrook seconded the motion that the minutes of the previous meeting were an accurate record. Upon being put to the vote the motion was carried.
Resolved:
That the minutes of the meeting held on 22 September were signed as a correct record.
The Internal Audit Manager gave an update on a number of actions from the last meeting:
· The committee had requested detailed reports to be made available to the committee. The Director of Finance and Resources reported that the committee would not receive detailed reports as a matter of course but if there is any particular reason or concern then it may be provided.
· Commentary and rationale around the audit opinion ratings will be made clearer for the next audit report.
· An email has been circulated to the committee around ‘staff definition’ relating to 2 audits which included councillors in one case and cyber security in the other case. A programme of development is underway.
· An email has been circulated to the committee around terms of reference being presented to the Community Safety Partnership (CSP) and the Community Manager has given a response.
· An update on the errors reported against the Affordable Housing and the Housing Waiting List National Fraud Initiative summary will be received in the annual report
Resolved:
That the minutes of the meeting held on 22 September were signed as a correct record.
The Internal Audit Manager gave an update on a number of actions from the last meeting:
· The committee had requested detailed reports to be made available to the committee. The Director of Finance and Resources reported that the committee would not receive detailed reports as a matter of course but if there is any particular reason or concern then it may be provided.
· Commentary and rationale around the audit opinion ratings will be made clearer for the next audit report.
· An email has been circulated to the committee around ‘staff definition’ relating to 2 audits which included councillors in one case and cyber security in the other case. A programme of development is underway.
· An email has been circulated to the committee around terms of reference being presented to the Community Safety Partnership (CSP) and the Community Manager has given a response.
· An update on the errors reported against the Affordable Housing and the Housing Waiting List National Fraud Initiative summary will be received in the annual report
6
External Audit Update
This report presents Ernst and Young’s provisional Audit Results Report on the 2024/25 Statement of Accounts and recommends that those accounts be approved.
Attachments:
- Document Accounts report to Audit Cttee - Dec 25 05 Dec 2025
- Document Accounts report Annex 1 05 Dec 2025
- Document Accounts Report Annex 2 05 Dec 2025
Minutes
Andrew Brittain, Audit Partner at Ernst and Young gave an update on the provisional Audit Results Report in respect of the audit for 2024/25 statement of accounts. He advised that the process was consistent with the published guidelines set out by the National Audit Office.
Andrew Brittain highlighted changes made to the accounts through the audit process including property, plant and equipment (PPE) valuations. As at the date of the report the work in respect of the Council audit is substantially complete subject to review. The Council have made good progress and subject to satisfactory resolution of all outstanding matters, estimate being able to issue a final Audit Results Report in January 2026. Whilst the audit testing is substantially complete, some areas continue to be reviewed as part of the Council’s audit quality assurance process. The Value for Money commentary will be included in the Auditor’s Annual Report which will be issued after the audit opinion has been signed.
It is anticipated that the approval and publication of the final accounts will be finalised by the backstop date of 27 February 2026. There was also some discussion around resourcing and allocated time. The Director of Finance & Revenues confirmed that there are adequate resources to complete the audit and Andrew Brittain clarified that it was a lack of resources in property management that slowed the process, not resources in the finance team
Jenni Carter, Head of Finance introduced the Statement of Accounts. The Council is required to publish the Statement of Accounts in accordance with the statutory timetable with 30 June being the latest. There is then a 6 week period for the public to examine the draft accounts and ask questions of which there were none for the Statement of Accounts 2024/25. The Accounts are then subject to an external audit which started in September. The Council then has to approve and publish the final accounts by 27 February 2026.
There was some discussion over the level of amendment to the Statement of Accounts delegated to the Director of Finance and Revenues (in consultation with the Chairman of the Audit Committee). The Director of Finance and Revenues will notify the committee if there are any changes to the Statement of Accounts once the audit is completed and, if there are any substantial changes, in consultation with the Chairman of the Audit Committee, agree if a further meeting of the Audit Committee is required to formally sign off the accounts before the latest publication date of 26 February 2026.
Councillor L Lashbrook proposed and Councillor Jeffrey seconded the motion as set out in the agenda.
Resolved:
1. That Ernst and Young’s provisional Audit Results Report, as shown in Annex 1 to the report, be received.
2. That the 2024/25 Statement of Accounts, as shown in Annex 2, be approved.
3. That the Director of Finance and Revenues, in consultation with the Chairman of the Audit Committee, be authorised to make any required changes to the 2024/25 Statement of Accounts resulting from the conclusion of Ernst and Young’s audit work.
Andrew Brittain highlighted changes made to the accounts through the audit process including property, plant and equipment (PPE) valuations. As at the date of the report the work in respect of the Council audit is substantially complete subject to review. The Council have made good progress and subject to satisfactory resolution of all outstanding matters, estimate being able to issue a final Audit Results Report in January 2026. Whilst the audit testing is substantially complete, some areas continue to be reviewed as part of the Council’s audit quality assurance process. The Value for Money commentary will be included in the Auditor’s Annual Report which will be issued after the audit opinion has been signed.
It is anticipated that the approval and publication of the final accounts will be finalised by the backstop date of 27 February 2026. There was also some discussion around resourcing and allocated time. The Director of Finance & Revenues confirmed that there are adequate resources to complete the audit and Andrew Brittain clarified that it was a lack of resources in property management that slowed the process, not resources in the finance team
Jenni Carter, Head of Finance introduced the Statement of Accounts. The Council is required to publish the Statement of Accounts in accordance with the statutory timetable with 30 June being the latest. There is then a 6 week period for the public to examine the draft accounts and ask questions of which there were none for the Statement of Accounts 2024/25. The Accounts are then subject to an external audit which started in September. The Council then has to approve and publish the final accounts by 27 February 2026.
There was some discussion over the level of amendment to the Statement of Accounts delegated to the Director of Finance and Revenues (in consultation with the Chairman of the Audit Committee). The Director of Finance and Revenues will notify the committee if there are any changes to the Statement of Accounts once the audit is completed and, if there are any substantial changes, in consultation with the Chairman of the Audit Committee, agree if a further meeting of the Audit Committee is required to formally sign off the accounts before the latest publication date of 26 February 2026.
Councillor L Lashbrook proposed and Councillor Jeffrey seconded the motion as set out in the agenda.
Resolved:
1. That Ernst and Young’s provisional Audit Results Report, as shown in Annex 1 to the report, be received.
2. That the 2024/25 Statement of Accounts, as shown in Annex 2, be approved.
3. That the Director of Finance and Revenues, in consultation with the Chairman of the Audit Committee, be authorised to make any required changes to the 2024/25 Statement of Accounts resulting from the conclusion of Ernst and Young’s audit work.
7
Internal Audit Progress Report
To receive an update on work undertaken by the Internal Audit team in the 2025/26 year to date.
Attachments:
- Document IA Progress Report to 301125 05 Dec 2025
- Document Annex IA Progress report to 301125 05 Dec 2025
Minutes
The Internal Audit Manager presented a report that set out the Internal Audit coverage, findings, and performance for 2025/26 to 30 November 2025 and summary risk profiles for those areas reviewed. The Internal Audit Progress report at 30 November 2025 was attached as an annex to the report.
The Annual Audit Plan for 2025/26 was approved by the Audit Committee on 24 March 2025. The scope of audits included in the plan enabled a continuing assurance opinion to be provided on the adequacy and effectiveness of the Council’s internal control framework and reflects the Council’s key priorities and objectives.
A risk assessment has ensured that the Corporate and Service risk registers, in consultation with all Directors and Senior Management, inform the plan and that the audit resource required is matched against available resources.
The Internal Audit function continues to make good progress against the Annual Audit Plan 2025/26 as summarised in the Internal Audit Progress report. Of the 6 audits relating to 2025/26 Audit Plan and reported as complete, 4 were classified as substantial assurance (green risk) and 2 substantial assurance (amber risk).
All actions arising from audit reviews to date have been accepted by management and programmed for implementation.
As of 30 November 2025, progress on the planned 2025/26 Audit Plan is on target to deliver the plan.
Councillor Hasselmann proposed and Councillor Parker seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the Internal Audit progress report is noted.
The Annual Audit Plan for 2025/26 was approved by the Audit Committee on 24 March 2025. The scope of audits included in the plan enabled a continuing assurance opinion to be provided on the adequacy and effectiveness of the Council’s internal control framework and reflects the Council’s key priorities and objectives.
A risk assessment has ensured that the Corporate and Service risk registers, in consultation with all Directors and Senior Management, inform the plan and that the audit resource required is matched against available resources.
The Internal Audit function continues to make good progress against the Annual Audit Plan 2025/26 as summarised in the Internal Audit Progress report. Of the 6 audits relating to 2025/26 Audit Plan and reported as complete, 4 were classified as substantial assurance (green risk) and 2 substantial assurance (amber risk).
All actions arising from audit reviews to date have been accepted by management and programmed for implementation.
As of 30 November 2025, progress on the planned 2025/26 Audit Plan is on target to deliver the plan.
Councillor Hasselmann proposed and Councillor Parker seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the Internal Audit progress report is noted.
8
Annual Corporate Complaints Report - 2024-25
To consider the Annual Corporate Complaints report for 2024-25.
Attachments:
- Document Annual corporate complaints report – 2024-25 - Report 05 Dec 2025
Minutes
The Head of Policy and Insight explained that the Council is required to prepare an annual summary of complaints dealt with under the formalised complaints procedure. The reporting year runs from 1 April 2024 to 31 March 2025.
In the year 2024/25 there were 177 service level complaints (those dealt with by more than one service at the same time are counted as one complaint). From these 177 complaints, 20 were escalated to the Chief Executive. There were also two additional Stage 2 complaints that were raised as Stage 1 complaints in the previous year
The Local Government and Social Care Ombudsman (LGSCO) received 7 new complaints relating to Test Valley Borough Council and accepted 6 (one carried over into the next reporting year). Of these 6, the LGSCO investigated two complaints, one of which was upheld.
Complaints at service level remain low relative to the overall volume of interactions with the public. The similar volume this year indicates that complaints have stabilised and start to demonstrate a consistent pattern.
The consistency of complaints reporting suggests that the complaints process continues to work effectively, and that the public are able to make a complaint with ease. Where necessary, trends are identified and managed by individual services. The Policy Manager will continue to work closely with services to identify ways to improve our complaints process and more effectively manage and resolve complaints. It was noted that improvements had been made to the report following comments from committee members last year, specifically in relation to overall learnings and improvements of services.
Councillor Hasselmann proposed and Councillor Parker seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the complaints report is reviewed and endorsed ahead of publication.
In the year 2024/25 there were 177 service level complaints (those dealt with by more than one service at the same time are counted as one complaint). From these 177 complaints, 20 were escalated to the Chief Executive. There were also two additional Stage 2 complaints that were raised as Stage 1 complaints in the previous year
The Local Government and Social Care Ombudsman (LGSCO) received 7 new complaints relating to Test Valley Borough Council and accepted 6 (one carried over into the next reporting year). Of these 6, the LGSCO investigated two complaints, one of which was upheld.
Complaints at service level remain low relative to the overall volume of interactions with the public. The similar volume this year indicates that complaints have stabilised and start to demonstrate a consistent pattern.
The consistency of complaints reporting suggests that the complaints process continues to work effectively, and that the public are able to make a complaint with ease. Where necessary, trends are identified and managed by individual services. The Policy Manager will continue to work closely with services to identify ways to improve our complaints process and more effectively manage and resolve complaints. It was noted that improvements had been made to the report following comments from committee members last year, specifically in relation to overall learnings and improvements of services.
Councillor Hasselmann proposed and Councillor Parker seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the complaints report is reviewed and endorsed ahead of publication.
9
Report on the use of the Regulation of Investigatory Powers Act 2000
To update members as to the Council’s use of its powers under the Regulation of Investigatory Powers Act 2000.
Attachments:
- Document Audit Committee RIPA Report December 2025 05 Dec 2025
Minutes
The Director of Legal and Democratic Services updated members on the Council’s use of its powers under the Regulation of Investigatory Powers Act (RIPA) 2000.
The Home Office Covert Surveillance and Property Interference Code of Practice recommends regular reporting to elected members of a local authority’s powers under the Regulation of Investigatory Powers Act 2000.
Local Authority use of RIPA powers is infrequent. Members are asked to note that Test Valley Borough Council has not utilised its powers under the 2000 Act in the last twelve months so this is a ‘nil return’ report, but Councillors are nonetheless requested to note the position.
Councillor Hasselmann proposed and Councillor L Lashbrook seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the report of the Head of Legal and Democratic Services on the Council’s use of its powers under the Regulation of Investigatory Powers Act 2000, be received
The Home Office Covert Surveillance and Property Interference Code of Practice recommends regular reporting to elected members of a local authority’s powers under the Regulation of Investigatory Powers Act 2000.
Local Authority use of RIPA powers is infrequent. Members are asked to note that Test Valley Borough Council has not utilised its powers under the 2000 Act in the last twelve months so this is a ‘nil return’ report, but Councillors are nonetheless requested to note the position.
Councillor Hasselmann proposed and Councillor L Lashbrook seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the report of the Head of Legal and Democratic Services on the Council’s use of its powers under the Regulation of Investigatory Powers Act 2000, be received
10
Risk Management Strategy
To approve the Risk Management Strategy, which has been reviewed to reflect best practice recommendations.
Attachments:
- Document Risk Management Strategy 2025 05 Dec 2025
- Document Annex Risk Management Strategy 2025 update 05 Dec 2025
Minutes
The Internal Audit Manager explained that the Risk Management Strategy that was approved in 2024 has been reviewed. It is considered that it remains up to date to support the management of risk in accordance with good practice and sound governance practices.
Therefore, it is recommended that the work taken to review the Risk Management Strategy be noted and that a further review be undertaken for consideration by the Audit Committee in December 2026.
Councillor Hasselmann proposed and Councillor Jeffrey seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the review of the Risk Management Strategy be noted.
Therefore, it is recommended that the work taken to review the Risk Management Strategy be noted and that a further review be undertaken for consideration by the Audit Committee in December 2026.
Councillor Hasselmann proposed and Councillor Jeffrey seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the review of the Risk Management Strategy be noted.
11
Audit Committee Work Programme
To consider an update to the work programme for the Audit Committee for the coming year.
Attachments:
- Document Work Programme - Report 05 Dec 2025
- Document Work Programme - Annex 05 Dec 2025
Minutes
Consideration was given to a report of the Director of Finance and Revenues which introduced an updated work programme to cover the next year’s reporting schedule.
The work programme is based on a number of cyclical reports that are required to be considered by the Committee as part of its terms of reference and any emerging themes for the Committee to consider and also reflects the changes to arrangements for the delivery of internal audit services which are anticipated to come into effect from April 2026.
The work programme for the Audit Committee sets out the reports that the Audit Committee is expected to receive over the coming year. It is based on experience gained over the last year and incorporates known changes to service delivery models. It provides a sound basis for the work required to be carried out by the Committee over the coming year. There will be opportunities to add or amend items on this programme throughout the year.
In answer to a question the Director of Finance and Resources will publish the Annual Governance Statement as soon as it has been signed off at Council which may be a few weeks after the Statement of Accounts due to the committee schedule and will be published on the same web page. He will also provide some provisional milestone dates for the next Statement of Accounts subject to circumstances.
Councillor Hasselmann proposed and Councillor Parker seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the work programme for the Audit Committee, as set out in the Annex to the report, be approved
The work programme is based on a number of cyclical reports that are required to be considered by the Committee as part of its terms of reference and any emerging themes for the Committee to consider and also reflects the changes to arrangements for the delivery of internal audit services which are anticipated to come into effect from April 2026.
The work programme for the Audit Committee sets out the reports that the Audit Committee is expected to receive over the coming year. It is based on experience gained over the last year and incorporates known changes to service delivery models. It provides a sound basis for the work required to be carried out by the Committee over the coming year. There will be opportunities to add or amend items on this programme throughout the year.
In answer to a question the Director of Finance and Resources will publish the Annual Governance Statement as soon as it has been signed off at Council which may be a few weeks after the Statement of Accounts due to the committee schedule and will be published on the same web page. He will also provide some provisional milestone dates for the next Statement of Accounts subject to circumstances.
Councillor Hasselmann proposed and Councillor Parker seconded the motion as set out in the agenda. Upon being put to the vote the motion was carried.
Resolved:
That the work programme for the Audit Committee, as set out in the Annex to the report, be approved
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