Internal and External Audit Report Follow Up Report 2024-2025
Argyll and Bute Council · 12 June 2025
Back to Audit and Scrutiny Committee — 12 June 2025 and its agenda
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ARGYLL AND BUTE COUNCIL AUDIT AND SCRUTINY COMMITTEE FINANCIAL SERVICES 12 June 2025 INTERNAL AND EXTERNAL AUDIT REPORT FOLLOW UP 2024-25 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 monthly basis, follow them up to ensure they are being progressed. 1.2 This report updates the committee on all open actions as at 31 March 2025 including information on actions where the agreed implementation date has been rescheduled. 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 31 March 2025. 3.2 Appendix 1 provides further detail on actions that have been delayed and rescheduled.
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Table 1 - Actions Due by 31 March 2025 SMT/Service Complete Delayed/ Rescheduled Total Internal Audit DH – Education Performance & Improvement 0 1 1 DH – Legal & Regulatory Support 1 1 2 KF – Customer Support Services 1 0 1 KF – Development & Economic Growth 0 1 1 KF – Roads & Infrastructure Services 5 4 9 KF – Financial Services 7 1 8 H&SCP (IJB) – Strategic Planning & Performance 0 6 6 H&SCP (IJB) – Adult Services (Older Adults & Community Hospitals 1 1 2 H&SCP (SW) – Adult Services (Mental Health Learning Disability, Addictions & Lifelong Conditions) 0 5 5 LiveArgyll 1 0 1 External Audit Nil TOTAL 16 20 36 Table 2 - Actions due after 31 March 2025 SMT/Service Complete On Course Total Internal Audit DH – Commercial Services 0 1 1 DH – Education Performance & Improvement 0 3 3 KF – Customer Support Services 1 0 1 KF – Development & Economic Growth 0 3 3 KF – Roads & Infrastructure Services 0 10 10 KF – Financial Services 0 7 7 H&SCP (IJB) – Adult Services (Older Adults & Community Hospitals 0 1 1 H&SCP (IJB) – Strategic Planning & Performance 0 2 2 H&SCP (SW) – Adult Services (Older Adults & Community Hospitals) 0 1 1 H&SCP (SW) – Children and Families and Criminal Justice 0 2 2 H&SCP (SW) – Finance/Transformation 0 2 2 H&SCP (SW) – Strategic Planning & Performance 0 2 2 External Audit Nil TOTAL 1 34 35
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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: none 5.10 Consumer Duty: none 5.11 Island Communities: none 5.12 Children’s Rights and Wellbeing: none Paul MacAskill Chief Internal Auditor 12 June 2025 For further information contact: Paul MacAskill, 01546 604108 Paul.macaskill@argyll-bute.gov.uk APPENDICES Appendix 1 – Action Plan Points Delayed and Rescheduled.
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Appendix 1 - Action Plan Points Delayed & Rescheduled Actions Plan Points due by 31st March 2025 Service, Report, Plan no. & Finding Agreed Action Dates Management Comment Responsible Officer Medium COMMERCIAL SERVICES EDUCATION PERFORMANCE & IMPROVEMENT SCHOOL FUNDS & MANAGEMENT OF FUNDS 2. Communicating amendments and updates Feedback from schools found that some clerical staff and some committee members are unaware of EMC 1.10 and therefore are unaware of the standard processes and templates. Future updates and amendments to EMC 1.10 should be communicated to all staff in schools. Following update of Management Circular information will be cascaded to HTs and clericals. Will be put on HT agenda for discussion. 31/03/2025 30 Apr 2025 Delayed due to work priorities and school holidays. Delayed and Rescheduled School Services Support Manager Low LEGAL & REGULATORY SERVICES Freedom of Information 3. Publication Scheme The Council’s Publication scheme not updated since May 2021, and the Council’s website was updated in 2023. A review of the Council’s Publication scheme should be undertaken, including checking that any links to information are still working. Review and Update Publication Scheme, publish on Website and provide link to Audit. 31/03/2025 30 Jun 2025 Report still to be considered by DMT & ELT. Subject to approval, report will be published by end of April. Delayed and Rescheduled Compliance & Regulatory 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 Jun 2025 Work has progressed on delivery of urgent training, most recently with delivery of training on Ancient Woodlands in February 2025 however a longer term plan which identifies resources and a programme for delivery is still Process and Productivity Improvement Officer
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Service, Report, Plan no. & Finding Agreed Action Dates Management Comment Responsible Officer being worked upon. Delayed and Rescheduled Medium FINANCIAL SERVICES Non Domestic Rates (NDR) 1. Entitlement to SBBS Relief During the testing process of records it was found that there was very little in the way of supporting documentation to substantiate claims for reliefs, in particular for SBBS relief. There are no further checks undertaken to ensure that where relief is applied that the business is still trading and entitled to this relief. SBBS is reviewed a minimum of every two years by the NDR team. Over and above that review the team will produce an annual schedule to check and verify that the properties in receipt of SBBS are still in active use. Some of this review will be desk based however a list of higher risk properties will be split by area and issued to Council Officers operating in that area for inspection and manual verification. Any other reliefs that are deemed higher risk can be added to the inspection/verification list. The first schedule will be drafted by 31 March 2025 for the 2025/2026 year. 31/03/2025 30 Jun 2025 List provided to potentially complete this action are problem cases that have been identified and not whether properties are in use. Delay due to breakdown in communication with NDR team. Delayed and Rescheduled Revenues and Benefits Manager Low ROADS & INFRASTRUCTURE SERVICES BRIDGE ASSET MANAGEMENT PLAN 4. Audit Trail re Late Inspections The audit found that there is currently no audit trail within the WebSMS sysytem (WDM) to document late inspections, including reasons for delay, actions taken and stakeholder communication. Late Inspections are currently being recorded manually via a report infrastructure. Design can export on WDM as to which reasons are added by the Infrastructure Design team. An automatic report is currently being built within WDM that will send a late inspections report. Late inspections and actions needed to ensure they are undertaken will form part of the quarterly reporting to RIS senior 31/03/2025 30 Jun 2025 Initial implementation of this is in place. Monthly email being automatically sent to Infrastructure Design from WDM with log of Late Inspections. Work required to rectify a number of errors generated. Expected to be developed to suitable stages by 30/06/2025. Delayed and Rescheduled Infrastructure Design Manager
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Service, Report, Plan no. & Finding Agreed Action Dates Management Comment Responsible Officer management team. This will enable the Infrastructure Design Team to highlight risks, articulate mitigations and to seek support where required to implement these. VFM ROADS & INFRASTRUCTURE SERVICES External Hire 4. Evaluating whether long term hires should be leased or purchased outright There is currently no mechanism that triggers an exercise where “finance” considers whether cheaper long term finance options are available such as an operating lease or for the Council to purchase an item outright Roads and infrastructure services are currently under a review of all services and the recommendation will be assessed as part of the review. 31/03/2024 31/12/2024 31/03/2025 31 Dec 2025 This work will be part of a wider review in terms of a Fleet Strategy and will be completed by the end of the calendar year. Delayed and Rescheduled Principal Accountant, Roads and Infrastructure Services Low ROADS & INFRASTRUCTURE SERVICES PIERS & HARBOURS 7. Income Gaps We reviewed the fees and charges agreed by the Council and compared these to fees and charges applied in other piers and harbour throughout Scotland, including Clydeport. It was found that there were potential gaps. Complete a review of potential new charges for Harbour Board approval in Fees and charges report. 30/11/2024 28/02/2025 31/12/2025 This will be considered as part of the budget process for 2026. Delayed and Rescheduled Marine Operations Manager VFM ROADS & INFRASTRUCTURE SERVICES Pupil & Public Transport 5. Cost and demand pressure Requests for home to school transport for ASN placements are a direct driver for costs within School Cost pressures relating to the provision of ASN pupil transport will be discussed during budget holder engagement meetings and handled in accordance with corporate budget processes. 31/03/2025 30 Sep 2025 This action remains open until Executive Directors agree the outcome of funds. Delayed and Rescheduled Fleet, Waste and Transport Manager
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Service, Report, Plan no. & Finding Agreed Action Dates Management Comment Responsible Officer Transport team, however these budgets sit within different Services, namely Education and Roads and Infrastructure, so have different reporting structures. Any additional cost pressures, relating to the provision of ASN pupil transport, due to increased demand should be escalated in accordance with corporate budgeting processes, by the budget holder. Medium STRATEGIC PLANNING AND PERFORMANCE H&SCP - Joint Strategic Planning 1. Alignment of JSP to Workforce Plan In order to support the delivery of the JSP it is important that a corresponding workforce plan is in place that is aligned with priorities and objectives of the JSP and that it supports the attraction, recruitment, development and retention of the workforce required to deliver the JSP. A review of the workforce plan noted that there was no evidence of a direct alignment between the current workforce planning document and the priorities and objectives set forth in the Joint Strategic Plan. HSCP will look to develop the next workforce plan to ensure direct alignment with the priorities and objectives outlined in the Joint Strategic Plan (JSP) for 2022-2025. 31/03/2025 31 Dec 2025 Council workforce plan is due in May, NHS workforce plan is due in July. The Joint Strategic Plan will be presented in draft to the IJB in September 2025 then shared for consultation with communities. The Strategic workforce oversight group is developing an annual work-plan with partner reps to ensure that all aspects of workforce planning are looked at collectively for action and monitored. Workforce is a strategic risk and this is reflected in draft priorities (as yet to go through the governance). Delayed and Rescheduled Head of Strategic Planning, Performance and Technology 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 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 Sep 2025 The ‘imatter’ survey will run mid-May for all HSCP staff and we will await the outcomes of this survey and then determine what areas need to be considered therefore no additional survey will be Depute Director of People, NHS Highland
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Service, Report, Plan no. & Finding Agreed Action Dates Management Comment Responsible Officer culture (how are the services working together, communicating with each other, sharing information), instead focusing on staff experiences in each organisation. undertaken. Delayed and Rescheduled Medium STRATEGIC PLANNING AND PERFORMANCE HSCP CULTURE 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’. Refresh and review of the remit and purpose of the Culture Group. The work plan will be included as part of the review to focus on meaningful action and timescales. 31/03/2025 30 Sep 2025 The decision has been made to cease the Culture Group and to incorporate into the Joint Partnership Forum but not in a same way as it was before. The agreed action doesn’t change and supporting documentation will be required to complete this action. The Culture Group will require to be embedded into the new group. Delayed and Rescheduled Depute Director of People, NHS Highland 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 Sep 2025 The decision has been made to cease the Culture Group and to incorporate into the Joint Partnership Forum but not in a same way as it was before. The agreed action doesn’t change and supporting documentation will be required to complete this action. The Culture Group will require to be embedded into the new group. Delayed and Rescheduled Depute Director of People, NHS Highland Medium STRATEGIC PLANNING AND PERFORMANCE HSCP CULTURE Chief Officer to communicate commencement of surveys to all staff via CO comms. 31/03/2025 30 Sep 2025 The ‘imatter’ survey will run mid- May for all HSCP staff and we will await the outcomes of this survey and then determine Chief Officer
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Service, Report, Plan no. & Finding Agreed Action Dates Management Comment Responsible Officer 4. Survey Participation The results of surveys have demonstrated engagement and participation by HSCP staff could be improved. what areas need to be considered therefore no additional survey will be undertaken. Delayed and Rescheduled 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 Sep 2025 The decision has been made to cease the Culture Group and to incorporate into the Joint Partnership Forum but not in a same way as it was before. The agreed action doesn’t change and supporting documentation will be required to complete this action. The Culture Group will require to be embedded into the new group. Delayed and Rescheduled Depute Director of People, NHS Highland High ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) CLIENT FUNDS 6. Unaccounted Funds Detail Restricted Detail Restricted 30/06/2023 31/08/2023 31/12/2023 31/03/2024 30/09/2024 31/03/2025 30 Jun 2025 Detail Restricted Delayed and Rescheduled SW Admin Manager Medium ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) CLIENT FUNDS PROGRESS REVIEW Detail Restricted 30/09/2024 31/03/2025 30 Jun 2025 Detail Restricted Delayed and Rescheduled SW Admin Manager
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Service, Report, Plan no. & Finding Agreed Action Dates Management Comment Responsible Officer 1. Procedures Detail Restricted Medium ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) CLIENT FUNDS PROGRESS REVIEW 2. Meeting service users financial needs Detail Restricted Detail Restricted 30/12/2024 31/03/2025 30 Jun 2025 Detail Restricted Delayed and Rescheduled SW Admin Manager Medium ADULT SERVICES (MENTAL HEALTH LEARNING DISABILITY, ADDICTIONS & LIFELONG CONDITIONS/CSWO) CLIENT FUNDS PROGRESS REVIEW 3. Implementation of new working practices Detail Restricted Detail Restricted 31/08/2024 31/12/2024 31/03/2025 30 Jun 2025 Detail Restricted Delayed and Rescheduled SW Admin Manager 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 Sep 2025 Examples will be provided throughout the next few months. Delayed and Rescheduled Senior Managers (Adult Services)
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Service, Report, Plan no. & Finding Agreed Action Dates Management Comment Responsible Officer Low ADULT SERVICES (OLDER ADULTS & COMMUNITY HOSPITALS) Scottish Social Services Council (SSSC) Registration 3. Service-user information Finding; Service- users and their family, friends and non-Council carers are advised that violence, threats or abuse towards them from Council employees will not be tolerated, however, only one handbook provided advised visitors on expected conduct regarding violence, threats or abuse towards employees. There was no documentation containing information regarding conduct of service users towards employees. Recommendation; Service-user documentation should be revised to advise that instanced of violence, threats or abuse directed towards employees is not acceptable. Review all social work and social care service user documentation in adult services. 31/08/2024 31/12/2024 28/02/2025 30 Sep 2025 All the managers have ensured this information is displayed and available within the care home information/introduction paperwork. The whole documentation review is more complex and still a work in progress. Delayed and Rescheduled Senior Manager - Resources/Professional Lead - Social Work Action Plan Points due after 31st March 2025 Nil