Meeting documents

To consider this report.

JulieMasci, Engagement Lead from Grant Thorntonpresented the report. She advised members that the Pension fund plan follows the same structure as the main council audit.  

The following key points were highlighted to members. 

·                     Page 108 identifies significant risks for pension fund audit.This is about management override of controls. 

·                     There are two other significant risks for pension funds which are about the need to use estimates and judgements in determining values. 

·                     Valuation of investments are on a 3-point scale. 1 being easier, 3 being hardest to value.These valuations may include judgements or estimations. 

·                     Materiality considerations and net assets. 1% net assets position. 26.19 million.  

·                     At the back of the plan members will find the proposed fees which have been itemised. 

Questions: 

·                     Page 109 - Cllr Kerley asked about the reasons for rebuttal and in particular No.3 point on culture. He felt that this needed some further explanation.  

·                     Cllr Chilcott queried fees and noted that additional fees that are being added every year. She acknowledged the extra work that is required but asked if these fee structures had been agreed nationally by industry regulator. She asked if there might be a national renegotiation of annual fees to set more realistic fees.The officer advised that the audit fee scale was set 5 years ago and is longer sufficient. Auditing fees are approved by PSAA, and any increasesto fees are monitored,challenged, and justified. Some added that often invoices are late due to this process. She advised that the PSAA are currently going through retendering and look to set new fees for year ’23/24. She reassured members that in future fee variations should be much less.