Internal and External Audit Report Follow Up 2025-26
Argyll and Bute Council · 16 December 2025
Back to Audit and Scrutiny Committee — 16 December 2025 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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ARGYLL AND BUTE COUNCIL AUDIT AND SCRUTINY COMMITTEE FINANCIAL SERVICES 16 December 2025 INTERNAL AND EXTERNAL AUDIT REPORT FOLLOW UP 2025-26 1.0 INTRODUCTION 1.1 Internal and external audit reports include an action plan with a management response establishing the agreed action, timescale and responsible officer. Internal Audit record these in a database and, on a quarterly basis, follow them up to ensure they are being progressed. 1.2 This report updates the committee on all open actions as at 30 September 2025 including information on actions where the agreed implementation date has been rescheduled or evidence is required to confirm completion. 2.0 RECOMMENDATIONS 2.1 To endorse the contents of the report. 3.0 DETAIL 3.1 The two tables below provide a numerical summary of open audit actions with a split between actions due by and due after 30 September 2025. 3.2 Appendix 1 provides a visual representation of progress in addressing agreed actions. 3.3 Appendix 2 provides further detail on actions that have been delayed and rescheduled or where evidence is required to confirm completion.
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Table 1 – Actions due by 30 September 2025 Service Complete Delayed/ Rescheduled Evidence Required Total Internal Audit DH – Commercial Services 1 1 DH – Education Wellbeing, Inclusion & Achievement 1 1 DH – Legal & Regulatory Support 1 1 KF – Development & Economic Growth 1 2 3 KF – Roads & Infrastructure Services 3 1 4 H&SCP (SW) – Adult Services (Mental Health Learning Disability, Addictions & Lifelong Conditions) 2 2 H&SCP (SW) – Adult Services (Older Adults & Community Hospitals) 1 1 H&SCP (SW) – Finance/Transformation 1 1 H&SCP (SW) – Strategic Planning & Performance 1 1 2 H&SCP (IJB) – Adult Services (Older Adults & Community Hospitals) 1 1 H&SCP (IJB) – Finance/Transformation 2 2 H&SCP (IJB) – Strategic Planning & Performance 6 6 LiveArgyll 1 1 External Audit Nil TOTAL 8 17 1 26 Table 2 – Actions due after 30 September 2025 Service Complete On Course Delayed/ Rescheduled Total Internal Audit DH – Commercial Services 1 1 DH – Education Performance & Improvement 4 4 DH – Education Wellbeing, Inclusion & Achievement 5 5 DH – Legal & Regulatory Support 6 6 KF – Development & Economic Growth 1 1 KF – Financial Services 1 2 1 4 KF – Roads & Infrastructure Services 1 7 8 H&SCP (SW) – Children & Families and Criminal Justice 7 1 8 H&SCP (IJB) – Strategic Planning & Performance 7 7 External Audit Nil TOTAL 2 39 3 44
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4.0 CONCLUSION 4.1 Satisfactory progress continues to be made implementing audit actions. 5.0 IMPLICATIONS 5.1 Policy – None 5.2 Financial – None 5.3 Legal – None 5.4 HR – None 5.5 Customer Service – None 5.6 Risk – None 5.7 Climate Change – None 5.8 Fairer Scotland Duty – None 5.9 Equalities – protected characteristics – None 5.10 Consumer Duty – None 5.11 Island Communities – None 5.12 Children’s Rights and Wellbeing – None Paul MacAskill Chief Internal Auditor 16 December 2025 For further information contact: Paul MacAskill, 01546 604108 Paul.macaskill@argyll-bute.gov.uk APPENDICES Appendix 1 – Visual representation of progress in addressing agreed actions Appendix 2 – Action Plan Points Delayed & Rescheduled or Evidence Required
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Appendix 1 – Visual representation of progress in addressing agreed actions as at 30 September 2025
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Appendix 2 – Action Plan Points - Delayed and Rescheduled or Evidence Required Action Plan Points due by 30th September 2025 Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer LOW COMMERCIAL SERVICES Asbestos Management 7. Site Responsible Person Records Services should advise Property Services of any changes of staff nominated as SRP but in practice this does not happen consistently meaning that these records are not up to date. Property Services have in the past issued emails to Heads of Services asking for staffing updates, but due to a lack of response this practice was stopped. Consideration should be given to whether this could be reinstated and where there is no response if this should be escalated to DMT/SMT. Property Services will issue emails to Heads of Services asking for staffing updates then enter details into Concerto. 30/09/2025 31 Dec 2025 Extension required to 31 December 2025 to accommodate statutory requirements of Martyn's Law. While the actions that will be taken remain mostly the same, the processes are being updated to reflect the statutory requirements within Martyn’s Law. This will include increased frequency of checking, with Heads of Service, for changes in site responsible persons from annually to 6 monthly. Updated Facility Responsible Person Records are completed and input on concerto. Email to be issued to all Heads of Service in November 2025 with response due by end November. Delayed and Rescheduled Commercial Services Admin Officer MEDIUM DEVELOPMENT & ECONOMIC GROWTH PLANNING 1. Staff Training Planning do not currently have in place a training schedule for 2023/24 for planning officers. Once the incorporation of the IDOX project is completed a training schedule will be introduced covering both the new system and other relevant areas such as the National planning for framework 4. 31/03/2024 31/12/2024 31/03/2025 30/06/2025 30/09/2025 31 Mar 2026 Planning staff have access to a full programme of training during the year held internally, or externally, as appropriate. In 2025/26 a programme of training is currently being collated. A formalised training schedule has still to be completed however action has already been taken forward to Process and Productivity Improvement Officer
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Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer deliver on several training themes identified by staff. This has included an event on considering the implications of the grid enhancement (April 2025), and sessions during Feb and March 2025 relating to Trees and EIA development. It is confirmed that the most pressing training needs have been identified and are being delivered/progressed whilst a training plan that addresses wider requirements remains under production. In addition, staff can access a range of digital courses specialising in Planning topics and there is also a range of internal courses available on back-office systems, corporate priorities, and other topics such as cyber security and the use of AI and digital tools such as copilot etc. Creating a training schedule is however still complicated by a lack of available external courses. That said, when staff do attend these, they are also asked to cascade learning to other colleagues through notes taken. Lastly, the council is also undertaking a transformational process, and planners attend an increasing number of
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Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer workshops and seminars that often involve a place-based approach working with other council services and external partners. The Scottish Government have also set up a Planning Hub to help share expertise with Planning Authorities. This approach is likely to increase in the future. Delayed and Rescheduled HIGH DEVELOPMENT & ECONOMIC GROWTH SHORT TERM LETS 1. Procedures Whilst policies and procedures that are in place are comprehensive, there are some elements of the policies which require to be completed in parts. This includes policies/procedures around Enforcement and Renewals that still require to be brought together and circulated. Other developments are noted for progression on Oracle. 1. Develop a Short-term Let Enforcement policy 2. Develop procedures for the renewal of Short-term let Licences 3. Secure changes to the Oracle STL system, including a searchable public register, a template licence revocation letter, with this status being added to oracle and tracking these 4. Develop a template for provisional licence, including cover letter 5. Include a new Licence type - “Transfer Licence” and new application status entitled “transferred”. 30/09/2025 31 Dec 2025 Good progress is being made to deliver these actions. 1. STL Enforcement - not progressed yet. 2. Renewal procedure developed and in place. Revised STL Policy approved by Council on 26 June 2025, together with fees. 3. IT system being updated and developed to accept on-line applications and payments. System testing ongoing but currently cannot accept on-line renewal applications. Alternative arrangements in place. 4. IT is working on new public register. Revocation form part of enforcement policy and procedures (see 1 above). 5. IT development to process transfers is complete. Regulatory Services and Building Standards Manager
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Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer Delayed and Rescheduled LOW ROADS & INFRASTRUCTURE SERVICES Burial Records 6. Historical Register Information Finding; The Burial and Cremation (Scotland) Act 2016 (The Act) requires information to be retained electronically although this is not currently in force it will be at a future date. The BACAS system has been partially updated with historical information recorded in burial registers; it has not been possible to update with all information due to the volume of work involved. Recommendation; Source temporary additional resource to update historical burial records on BACAS. The service will source temporary assistance to update records during Summer 2024. 30/06/2024 31/12/2024 30/06/2025 30/09/2025 31 Dec 2027 The input of historical records is progressing within the existing Roads and Amenity administrative support team as it has not been possible to obtain additional resource. This project is significantly more onerous than initially considered and is creating pressure on the team to complete a piece of work that is not currently legislative. A more realistic timeframe has therefore been established to complete this work and allow the admin team to prioritise business as usual and progress with this recommendation when resources permit. Delayed and Rescheduled Operations Manager, Roads and Infrastructure Services LOW ADULT SERVICES (OLDER ADULTS & COMMUNITY HOSPITALS) Adult Services - Adult Support & Protection 1. Progress Whilst significant progress has been made to address the key areas identified within the report there remains challenges in terms of ensuring attendance by all relevant partners at case conferences, ensuring that chronologies and risk assessments are completed and ensuring that the ‘three-point test’ is undertaken. Adult services will facilitate an ASP audit on a six monthly basis to determine practice and compliance with ASP legislation and KPIs. 30/09/2024 31/12/2024 31/08/2025 31 Dec 2025 Audit complete and report recently shared with Senior Leadership Team. Due to go to Adult Protection Committee and Social Work governance (Chaired by Chief Social Work Officer). Will also go to Chief officer Group for Public Protection. Action plan in development, evidence will be provided once progressed through low-level governance. Head of Adult Services (Mental Health, Acute and Complex Care)
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Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer Delayed and Rescheduled MEDIUM FINANCE/TRANSFORMATION INFORMATION GOVERNANCE 1. Documentation Review Reviews are outstanding in regard to; · Records Management Plan · Information Governance policy framework A review of all relevant documents will be carried out. RMP will be reviewed and submitted to Keeper around February 2025. IG policy to be reviewed. 31/03/2025 30/09/2025 31 Dec 2025 The new date for submission of the RMP to the Keeper is 31 December 2025. Delayed and Rescheduled Governance, Risk & Safety Manager MEDIUM FINANCE/TRANSFORMATION INFORMATION GOVERNANCE 2. Improvement Plan A number of improvement recommendations made by the Keeper of Scotland were identified in the following areas: · Business Classification · Retention Schedule · Destruction Arrangements · Archiving and Transfer · Business Continuity and Vital Records · Audit Trail An action Plan to address these areas should be implemented Develop and implement an action plan to address the Keeper of Scotland's improvement recommendations, ensuring that all aspects of records management are up-to-date, compliant, and effectively managed. Will be reviewed as part of RMP submission to Keeper. 31/03/2025 30/09/2025 31 Dec 2025 The new date for submission of the RMP to the Keeper is 31 December 2025. Delayed and Rescheduled Governance, Risk & Safety Manager MEDIUM STRATEGIC PLANNING AND PERFORMANCE HSCP CULTURE 1. Surveys Recent surveys undertaken by each organisation do not focus specifically on the HSCP in terms of culture (how are the services working together, communicating with each other, sharing information), instead focussing on staff experiences in each organisation. HR leads within ABC and NHSH to review survey landscape and explore joint survey option over and above existing employer only surveys. To report to SLT and JPF. 31/03/2025 30/09/2025 31 Mar 2026 Discussion between both employers and Chief Officer with conclusion that the iMatter annual survey is for all employees in the HSCP regardless of employer and therefore further survey at this stage is not required, however, any disbandment of the Culture Group would need to be put to Audit & Risk. Staff issues have delayed this action further. Delayed and Rescheduled Depute Director of People, NHS Highland MEDI UM STRATEGIC PLANNING AND PERFORMANCE HSCP CULTURE Refresh and review of the remit and purpose of the Culture 31/03/2025 30/09/2025 Agreement between staffside lead for Argyll and Bute, Chief Depute Director of People, NHS Highland
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Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer 2. Work Plan The work plan outlines priorities, outcomes, responsible person and timeframes. However, these are not specific, targeted or in some instances easily measurable with target dates for completion marked as ‘ongoing’. Group. The work plan will be included as part of the review to focus on meaningful action and timescales. 31 Mar 2026 Officer and both HR leads that the Culture Group was no longer required. The JPF ToR, standard agenda and workplan were reviewed to include the areas and items that had previously been part of the culture group remit, however, any disbandment of the Culture Group would need to be put to Audit & Risk. Staff issues have delayed this action further. Delayed and Rescheduled MEDIUM STRATEGIC PLANNING AND PERFORMANCE HSCP CULTURE 3. Monitoring Progress There does not seem to be progress notes assigned to the work plan therefore difficult to assess, without reading every meeting note what progress has made. In addition, as noted above a number of targets dates are simply noted as ‘ongoing’. Refresh and review of the remit and purpose of the Culture Group to include timescales and progress reporting as appropriate. 31/03/2025 30/09/2025 31 Mar 2026 Agreement between staff side lead for Argyll & Bute, Chief Officer and both HR leads that the Culture group was no longer required. The JPF ToR, standard agenda and workplan were reviewed to include the areas and items that had previously been part of the culture group remit, however, any disbandment of the Culture Group would need to be put to Audit & Risk. Staff issues have delayed this action further. Delayed and Rescheduled Depute Director of People, NHS Highland MEDIUM STRATEGIC PLANNING AND PERFORMANCE HSCP CULTURE 4. Survey Participation Chief Officer to communicate commencement of surveys to all staff via CO comms. 31/03/2025 30/09/2025 31 Mar 2026 Agreed that the National iMatter survey would be the tool used. Staff issues have delayed this action further. Delayed and Rescheduled Chief Officer
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Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer The results of surveys have demonstrated engagement and participation by HSCP staff could be improved. MEDIUM STRATEGIC PLANNING AND PERFORMANCE HSCP CULTURE 5. Culture and Wellbeing Group Whilst the Culture Group is open to all staff across the HSCP, there is a greater proportion of representation of NHS staff. As per refresh and review of Culture Group, review membership as a result of revised remit and purpose. 31/03/2025 30/09/2025 31 Mar 2026 Agreement between staff side lead for Argyll & Bute, Chief Officer and both HR leads that the Culture group was no longer required. The JPF ToR, standard agenda and workplan were reviewed to include the areas and items that had previously been part of the culture group remit, however, any disbandment of the Culture Group would need to be put to Audit & Risk. Staff issues have delayed this action further. Delayed and Rescheduled Depute Director of People, NHS Highland LOW STRATEGIC PLANNING AND PERFORMANCE Risk Management 3. Training It is noted that there is an outstanding audit action since June 2021 covering; · Training for new members of IJB and Audit Committee · training for Risk leads · maintenance of training records Recommendation accepted. A training programme based upon the use of the Smartsheet system is being developed. 31/12/2023 30/06/2024 31/12/2024 30/09/2025 31 Dec 2025 Note the agreed action is changed, as Smartsheet will be replaced by in Phase, which has been delayed. A TURAS module in risk is available to all staff, at present, however, uptake has not been high. Audit Committee training identified and pending funding approval. Delayed and Rescheduled Business Improvement Manager MEDIUM ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) CLIENT FUNDS PROGRESS REVIEW 2. Meeting service users' financial needs The HSCP will work with Procurement Commercial and Contract Management Team (PCCMT) to identify appropriate options within each area. This issue, which is not within the 30/12/2024 31/03/2025 30/06/2025 30/09/2025 31 Dec 2025 PCCMT has provided options which need to be reviewed and considered. Delayed and Rescheduled SW Admin Manager
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Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer This is a restricted report, please contact Internal Audit directly if you are responsible for updating this action. control of the HSCP, is likely to recur, generating significant additional work. MEDIUM ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) Learning & Physical Disability Care Packages 3. Case Notes Case notes are maintained on Eclipse, the replacement client database for Carefirst. It was noted that case notes were not always maintained and up to date. Record keeping session (s) to be delivered by professional lead · Senior Managers to implement case note audit within their respective services – this should be linked to individual practitioner supervision 30/06/2024 31/12/2024 31/03/2025 30/09/2025 31 Jan 2026 Reassigned to another Professional Team Lead, who will revisit the case file audit process, and peer audit case files per team/service, per month. This will be tailored to meet the requirements of Eclipse. For record keeping sessions, this will need time to plan this and deliver it. Audit practice notes for LD will be addressed through supervision. In addition, audit tools to be applied to AHP, and completed by OT and SALT. Nurses have a different tool, and looking to also complete, as well as for Psychology. Delayed and Rescheduled Senior Managers (Adult Services) MEDIUM FINANCE/TRANSFORMATION Payroll Procedure for HSCP Care at Home 1. Processes Payroll processes for Care at Home staff are manually intensive involving a 3-stage process transferring information at each stage of the process. This increases risks of error, although risks are mitigated through authorisation processes and checking of information efficiencies could be made by considering a more automated approach. The process for payroll will be reviewed and any recommendations implemented. If following consultation with the Finance Manager, it is determined that no improvements can be made this action will be closed pending purchase of a new automated system or further development of the iTrent system. 30/09/2025 31 May 2026 The Council are in the process of developing a new app, Pay Time, which, if implemented, will address this issue. The Council are suggesting that testing will begin in November 2025. It will be rolled out to the HSCP if the testing is successful. A precise implementation date is not within the control of the HSCP. It is suggested that this SW Admin Manager
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Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer recommendation is next reviewed in 6 months, at which stage there should be a clear implementation date from the Council. Delayed and Rescheduled MEDIUM STRATEGIC PLANNING AND PERFORMANCE Learning & Physical Disability Care Packages 7. Unmet Need Unmet need for Older People Care at Home is collated by the resources team on a weekly basis, this is then submitted to Performance and Improvement Team and is reported to Scottish Government. The data for Learning Disability is not currently recorded formally and not included in the above. Include the data re unmet need for those under 65 in the weekly reporting format already in place for Older People. 30/06/2024 30/09/2024 31/08/2025 31 Dec 2025 Unmet need for Homecare for under 65's should be included in the regular locality returns, however, there is a variable response in respect of persons with MH or LD with most localities maintaining that they don't record this. No separate record is currently maintained, and this was to be reviewed and included in the ongoing "Resources Services" and commissioning practice that is being developed. Delayed and Rescheduled Head of Strategic Planning, Performance and Technology & Head of Adult Services (Health & Community Care) LOW LIVEARGYLL Disclosure Checks – PVG 2. Policies, Procedures & Guidance Finding: The Manager’s Guide to Recruitment lacks version control to help users ensure they are using the most current and up-to-date version and the Safeguarding Policy requires amendment to correct/remove errors. Recommendation: When updating documentation to incorporate new legislation, Management should ensure that version control is applied and all errors corrected/removed. Document control protocols in relation to legislative updates will be reviewed and the process updated where needed. 31/07/2025 Version control has been added to the Managers Guide to Recruitment, the Safeguarding Policy has been updated but an error appears to remain, update to follow. Evidence Required Services and Support Manager
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Action Plan Points due after 30th September 2025 Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer LOW DEVELOPMENT & ECONOMIC GROWTH Private Sector Housing Grants & Adaptions 3. Procedure Notes and Shared Documents While the vast majority of requirements are included there would be benefit to updating these to reflect current working practices, which have evolved due to hybrid working arrangements and the digitalisation of records. Consideration should be given to creating a checklist to ensure consistent application of processes. Procedures and documents will be reviewed and updated. Checklists to be drawn up and introduced when updating the procedures. 31/12/2022 30/06/2023 31/03/2024 30/09/2024 30/12/2024 30/06/2025 31/10/2025 31 Jan 2026 Long term sickness absence since April 2025 has prevented any progress. Phased return planned for October. Revised timetable will need to be agreed. The Scheme of Assistance was only approved by Council at its meeting in April this year as the February meeting agenda was full. As a result, work on revising the processes, procedures, and any checklists could not be taken forward until this point Delayed and Rescheduled Team Lead - Housing Operations LOW FINANCIAL SERVICES Preparedness for IFRS16 1. Database Maintenance Continuing to meet the requirements of IFRS 16 will rely on good communication with departments and a clear understanding of the processes involved for updating Financial Services with new lease arrangements or changes to existing lease arrangements. Policy document and training will be developed to provide a framework for ongoing compliance with IFRS16 Leases and will be reviewed and updated as appropriate. 31/12/2025 31 Jan 2026 Pushing back one month to allow for competing priorities. Delayed and Rescheduled Finance Manager
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Service, Report, Plan no. & Finding Agreed Action Original and Revised Dates Comment Responsible Officer LOW CHILDREN AND FAMILIES AND CRIMINAL JUSTICE Payroll Procedure for HSCP Care at Home 2. iTrent The final stage of the payroll process involves inputting information into iTrent which is completed by Administration staff. There is currently no authorisation process in place to confirm the accuracy of information input into the system. The iTrent Project Team are currently looking at how the processing of timesheet data for staff can be improved to ensure accurate and timely information for payroll processing and more detailed information on when and why staff are working, particularly casual staff, for HR and service management. Provided by key officer for iTrent system to enable authorisation on system. 31/03/2026 31 May 2026 The Council are in the process of developing a new app, Pay Time, which, if implemented, will address this issue. The Council are suggesting that testing will begin in November 2025. It will be rolled out to the HSCP if the testing is successful. A precise implementation date is not within the control of the HSCP. It is suggested that this recommendation is next reviewed in 6 months, at which stage there should be a clear implementation date from the Council. Delayed and Rescheduled iTrent Project Team