AS Committee Self-Evaluation
North Ayrshire Council · 20 November 2025
Back to Audit and Scrutiny Committee — 20 November 2025 and its agenda
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NORTH AYRSHIRE COUNCIL 20 November 2025 Audit and Scrutiny Committee Title: Audit and Scrutiny Committee Self-Evaluation 2025 Purpose: To report on the outcome of the annual self-evaluation of the Audit and Scrutiny Committee. Recommendation: That the Committee (a) notes the findings of the self-evaluation, as set out at Appendix 1; and (b) agrees to repeat the self- evaluation exercise on an annual basis. 1. Executive Summary 1.1 The Audit and Scrutiny Committee’s self-assessment process for the financial year 24/25 which was undertaken on 29th October 2025. 1.2 The findings of the self-evaluation are set out at Appendix 1. 2. Background 2.1 Self-evaluation assessment forms part of the standard operating procedures of the Audit & Scrutiny Committee. 2.2 The current evaluation form is based on the CIPFA publication “Audit Committees: Practical Guidance for Local Authorities and Police – 2022 Edition”, with the evaluation carried out with specific reference to Appendix E “Self Assessment of Good Practice”. The checklist was added to, in order to ensure coverage of the scrutiny element as this relates to the remit of the Audit and Scrutiny Committee. Prior to the next self-evaluation exercise, the evaluation form will be further reviewed to remove elements of duplication and will be further informed by best practice. 2.3 The self-evaluation toolkit set out at Appendix 1 comprises 52 questions covering all aspects of the committee’s work under the broad headings of: • Audit Committee Purpose and Governance • Functions of the Committee • Membership and Support • Effectiveness of the Committee
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2.4 Members of the Audit and Scrutiny Committee were invited to consider the self- evaluation questions independently in the first instance, before coming together for a discussion session, facilitated by the Head of Service (Democratic) on 29th October 2025. 2.5 Appendix 1 to the report sets out the outcome of the discussion sessions, in terms of collating consensus responses to the toolkit questions. 3. Proposals 3.1 It is proposed that the Committee (a) notes the findings of the self-evaluation, as set out at Appendix 1; and (b) agrees to repeat the self-evaluation exercise on an annual basis. 4. Implications/Socio-economic Duty Financial 4.1 None. Human Resources 4.2 None. Legal 4.3 None. Equality/Socio-economic 4.4 None. Climate Change and Carbon 4.5 None. Key Priorities 4.6 Sustainable Council. The self-evaluation process ensures review of the operation of the main scrutiny committee within the Council for assurance that there are robust arrangements in place for ensuring proper governance and risk management. Community Wealth Building 4.7 None. Islands Communities Impact Assessment (ICIA) 4.8 None.
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United Nations Rights of the Child (UNCRC) 4.9 None. Consumer Duty 4.10 None. 5. Consultation 5.1 All Members of the Audit and Scrutiny Committee were invited to contribute to the self- evaluation. Aileen Craig Head of Service (Democratic) For further information please contact Aileen Craig, Head of Service (Democratic), on 01294 324125. Background Papers None
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1 Audit and Scrutiny Committee Self-Evaluation 2025 Appendix 1 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions Role of Audit & Scrutiny Cttee Members 1. Does the committee have written terms of reference which are subject to periodic review? X The terms of reference are set out in the Council’s Scheme of Administration (SOA), which is subject to annual review by the Council. 2. Is the role and purpose of the committee understood and accepted across the Council? X The SOA forms part of the Elected Member induction programme for new Members. The SOA is published on the Council’s website and is accessible to Members, officers and the public. 3. Do the committee members clearly understand their roles and responsibilities? X The SOA forms part of the Elected Member induction programme. Members have exhibited a keen awareness of their role as Committee Members. 4. Do committee members bring an independent mindset to their role? X No party whip has been declared at any meetings of the committee and its members are able to bring an independent mindset to their role. 5. Does the composition of the committee adequately reflect the political make-up of the Council? Are the majority of its members from outwith the Administration? X The committee comprises 7 Members: 3 from the main Labour Opposition Group, 2 from the Conservative Group,1 from the Reform UK Group, 1 Independent Member and 2 from the minority SNP Administration. The latter are not members of the Cabinet. The membership reflects the political make-up of the Council, with a majority of Members coming from outwith the Administration.
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2 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 6. Is the committee’s remit clearly defined in respect of the following? • performance • value for money • good governance • assurance • risk management and internal control • internal audit • external audit • financial reporting • scrutiny X All of the elements mentioned are included within the committee’s terms of reference, as set out in the Scheme of Administration. Skills and Expertise 7. Is an induction programme provided for new committee members, covering the role of the committee, its terms of reference and the key risk and issues facing the Council, as well as specialised areas such as treasury management? X New Members receive a full induction programme which includes the remit of the Audit and Scrutiny Committee. Additional training is also available on specific areas such as cyber security. A number of other relevant topics are delivered to all Members as part of the wider training and development programme. Further external training through the Improvement Service is being considered.
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3 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 8. Are the ongoing training requirements of committee members agreed each year according to their specific needs and developments arising? X Members have the opportunity to undertake a PPD exercise annually to identify training and development needs. There is also scope for Members to participate in 360-degree appraisal, as well as one-to-one feedback. The Committee also receives an annual report on Member training which reviews past training, consults on ways to improve and looks for suggestions for any necessary training. 9. Do members feel they can request training if they consider this would help them in their role? X Members have the opportunity to undertake a PPD exercise annually to identify training and development needs. There is also scope for Members to participate in 360-degree appraisal, as well as one-to-one feedback. In addition, Members can contact the Monitoring Officer or s95 Officer for any specific assistance they require. The Committee also receives an annual report on Member training which reviews past training, consults on ways to improve and looks for suggestions for any necessary training.
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4 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 10. Does the Chair have appropriate knowledge and skills? X The Chair is the Depute Leader of the Labour Group and is experienced in chairing this and other meetings. Members of the committee agree that he is knowledgeable and capable in his role as Chair. Behavioural and Operational Aspects 11. Is the number of meetings sufficient to meet the committee’s role and responsibilities (and not fewer than three per year)? X Five ordinary meetings a year are scheduled and there is provision for Special Meetings to be arranged, as required to consider call in requests and to allow more time to consider performance reporting. Over the previous year a number of Special Meetings have been arranged to consider Call-in requests and petitions. 12. Are committee meetings scheduled in good time in respect of important decisions and financial deadlines? And are the meetings are held to coincide with key dates within the financial reporting and audit cycle? Is there are clear plan for the year to ensure all matters within the committee’s remit are covered? X The calendar of meetings is agreed following consultation with officers and Members, and to accord with key audit dates. The forward planner of committee business ensures that business is scheduled appropriately. In instances where the volume of business is likely to be onerous, there is provision to arrange additional meetings. Following an improvement action identified in 2019, meetings are no longer scheduled in the same week as a Council meeting. This ensures that Members have time to fully consider the reports before the Committee.
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5 13. Does the Agenda allow for flexibility, or for further meetings to be held where appropriate, should the committee need to spend additional time on issues? X Yes. See above. 14. Are meetings of the committee well- attended, with the majority of committee members present at each meeting? X Attendance levels since the start of the current Administration range from 67-100% 15. Are all the committee members fully engaged and participative in meeting discussions? Do members participate in active discussion and debate around key agenda items, with appropriate contribution from each member? Do members ask questions, including ‘tough’ questions? X Members of the committee proactively engage and ask questions of officers and others attending the committee, and can ask for further clarification or reports, as required. All Members of the Committee are fully engaged with the remit of the Committee. 16. Has each committee member declared their business interests? Is the register of interests checked on a regular basis? Is the register easily accessible? X Members have declared their business interests, which are published on the Council’s website. A quarterly reminder to update the register of interests is issued.
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6 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 17. Does the committee have good working relations with key people and organisations, including external audit, internal audit and the chief financial officer? X The committee has a positive and constructive relationship with officers of the Council and the Council’s external auditors. Both attend committee to present their reports and are available to meet with the Chair outwith meetings. This has been recognised as a strength. 18. Does the committee hold periodic private discussions with the chief internal auditor and also with the external auditor? X Discussion with the internal and external auditors take place. These discussions tend to be in public, in the course of committee meetings. In addition, however, the Chair holds Pre-Agenda meetings with officers in private and there is also provision for the chief internal auditor to meet with the Chair if required. 19. Does the committee have clear criteria for assessing its effectiveness to inform their annual assessment? X The current self-evaluation process offers an opportunity and mechanism for the committee to assess its effectiveness. Given the level of business before the Committee in the financial year 24/25 and the positive way in which all Members were engaging with the Committee an evaluation was not undertaken. The exercise will now take place on an annual basis as was previous practice with the exception of the first year of an Administration where time is required to enable the Committee to gain experience.
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7 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions Information and Support 20. Do the clerking arrangements for the committee ensure that the members’ time is used effectively? For example: • is there a good reason for each item being on the agenda? • are all papers circulated sufficiently in advance (and none tabled) and distributed in sufficient time for members to give them due consideration? • do the reports prepared for the audit committee members make it clear what they are being asked to do/agree? X The draft Agenda is discussed in detail with the Chair/Vice-Chair at a Pre-Agenda meeting and the finalised Agenda then issued at least three clear days prior to the meeting. Papers are circulated in advance of the meeting as part of the Agenda. The standard report template includes sections setting out the proposals and detailed recommendations. 21. Does the committee have a mechanism to keep it aware of topical legal and regulatory issues and institutional developments, for example, by receiving circulars, training or briefing papers? Is the committee briefed on significant changes? X The committee can receive ad hoc briefings and updates in respect of topical matters.
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8 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 22. Do the committee members receive reports that are comprehensive but concise and tailored to their needs? Is the information they receive robust and objective? X The volume of business considered can be extensive. However, the format of reporting keeps the reports as concise as possible, with key points highlighted and further information provided via appendices/links to external material/reference to background papers. The provision of electronic Agendas (with Search functionality) has assisted in ensuring that Members have the salient information and as well as access to further reading. The appendices to some performance reports are, by necessity, lengthy, although the covering report does identify key messages and highlights. 23. Are Minutes taken and appropriately circulated to all committee members in a timely manner, with actions arising noted and their resolution tracked? X Minutes include the purpose of the report, the committee’s decision and how it is to be implemented. Committee Services publish the Minute within five working days of the meeting and Members receive an electronic link to the Minute. The recorded meeting is also available on the website for reference which contains the full detail of the discussion rather than simply a minute. Committee Services issue action notes to officers responsible for implementation as well as reminders about outstanding actions. A summary of overdue actions is also sent periodically to Executive Directors and Heads of Service.
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9 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions Activities and Functions: Performance 24. Does the committee receive regular detailed reports on the performance of services? X Council Plan progress reports are submitted annually and detailed reports on Service performance are considered twice yearly. 25. Is the committee involved in setting the strategy for performance review? X The committee does review performance, but it is the Council as a whole which takes responsibility for setting the strategy via the Council Plan. Any concerns may, however, be raised via the committee. Activities and Functions: Governance 26. Does the committee provide support to the Council in meeting the requirements of good governance? X The committee receives an annual Governance Statement prepared by the Senior Manager (Internal Audit, Risk and Fraud) and is able to question/challenge its contents. The Code of Corporate Governance prepared by the Head of Democratic Services is also prepared on an annual basis. Ad hoc advice is provided to the Committee if required at the meeting by the relevant officers. 27. Does the committee oversee an assessment of the governance arrangements of the Council and advise on their effectiveness? X See above. 28. Does the committee consider reports and recommendations from external audit and regulators/agencies as appropriate and their implications for governance, risk management and control? X The committee does receive regular reports from the internal and external audit functions and wider regulatory and inspection agencies.
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10 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 29. Does the committee monitor arrangements for ensuring value for money and for managing exposure to the risk of fraud and corruption? X The committee receives regular reports on managing fraud and corruption, including an annual corporate fraud report, quarterly updates on corporate fraud action reports and regular reports on the outcome of investigations by Internal Audit and the Corporate Fraud team. 30. Does the committee scrutinise and challenge the finance committee (Cabinet) effectively? X The committee does hold the Cabinet to account, including via the call-in process. The committee has considered a number of call-in requests in the past year. The Committee has in previous years recommended to Cabinet, on occasion, that it reconsiders its decision.
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11 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 31. Is the committee’s role in relation to whistle blowing clear? Does the committee review the arrangements by which staff may, in confidence, raise concerns about possible improprieties in matters of financial reporting or other matters? X The Council has a whistle-blowing policy and updated March 2023 version is available online at northayrshirecouncil.sharepoint.com /sites/EmployeeConduct/Shared Documents/Forms/AllItems.aspx?id= %2Fsites%2FEmployeeConduct%2FS hared Documents%2FWhistleblowing Policy %26 Procedure%2Epdf&parent=%2Fsites %2FEmployeeConduct%2FShared Documents The committee, therefore, has assurance that the processes are in place. 32. Is the committee’s role in relation to the Council’s fraud and corruption procedures clear? X The committee receives regular reports on corporate fraud investigations undertaken by the Council’s internal audit function. It also receives a quarterly update on the implementation of actions identified as a result of investigations undertaken and is invited to challenge Services which have not implemented actions within the agreed timescales. Activities and Functions: Assurance 33. Does the committee seek to ensure that assurance is planned and delivered? X The Senior Manager (Internal Audit, Risk and Fraud) prepares an Annual Governance Statement which is included within the annual accounts and explains how the Council complies with the Code of Governance Framework.
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12 34. Does the committee understand what assurance is available to support the annual governance statement? X The Council’s internal audit service carry out specific audits on the Code of Corporate Governance every 3-4 years and the outcome is reported to the committee. Also the wider programme of Internal Audit work, as defined in the Annual Audit Plan, all feeds into the assurance available to support the AGS, as well as some other sources of assurance, most notably the work of External Audit. The output from Internal and External Audit’s work (i.e. audit reports) are presented to the committee at the next available meeting after publication 35. Does the committee seek clarity regarding what assurance is required? X Yes. 36. Does the committee gain assurance that the Council’s risk management, control and governance arrangements are adequate and effective? X Yes. See above. Activities and Functions: Risk Management 37. Does the committee keep risk management on its agenda throughout the year? X The committee receives an annual report on Strategic Risk Register together with a Mid-Year report. These are standard agenda items for the consideration of the committee. 38. Does the committee monitor how the Council assesses risk? Does it review the Council’s risk register on a regular basis? X The Cabinet approves the Council’s Risk Management Strategy. However, the committee does receive an annual report on the Risk Register and is able to question/challenge its contents. The committee receives reports on specific areas of risk, including cyber security.
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13 39. Is the nature, source, format and frequency of information on risk management and internal control submitted to the committee fit for purpose? X Yes. See above. 40. Is the committee aware of the Council’s cyber risk activity? Does it receive regular updates on management and mitigation of cyber risk? Has it received appropriate training to meet its responsibilities? X Updates on Cyber Security are provided. Members have also received specific briefings on cyber security. It is proposed that further ongoing IT Security Training and briefings are provided to Elected Members. Activities and Functions: Internal Audit 41. Does the committee monitor and review the effectiveness of internal audit? X The committee receives an annual audit report, together with reports on the outcome of audits and is, therefore, able to question the work of the team. The Chair also meets with the Senior Manager (Internal Audit, Risk and Fraud) out with the formal meeting at pre-agenda meetings or ad hoc as required. 42. Does the committee approve, annually and in detail, the internal audit strategic and annual plans? Does it ensure that the internal audit plan is aligned to the key risks of the business? X The committee approves the Internal Audit plan and agrees the indicators and targets set out in the report. 43. Does the committee consider the actions management have taken to implement the recommendations of internal audit? Are follow up audits by internal audit monitored by the committee? X Yes. These are the subject of quarterly reports. 44. Does the committee receive regular progress reports from the internal audit service summarising internal audit activity? X The committee receives regular reports on internal audit reports issued. These include the key findings of audits undertaken and the management response. There is also a mid-year update on progress delivering the Annual Audit Plan and the Annual Report reviewing the year’s work.
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14 45. Is the internal audit plan sufficiently flexible and dynamic to help identify and address new risks and promptly meet the emerging needs of the audit committee? X The indicative programme of work is reviewed each year and may change to reflect the priorities at that time. The plan always has a contingency of time set aside for flexibility such as emerging risks. Proposed changes to the plan may be brought to the Committee at the mid-year update. 46. How does the committee ensure that a professional relationship is maintained between internal and external audit? X The Chair can meet separately with internal and external audit representatives. 47. Does the committee review the adequacy of internal audit staffing and other resources? X The committee receives information on audit staffing as part of the audit plan and the audit annual report. 48. Does the committee, in conjunction with the internal audit service and management, have a role in establishing and maintaining appropriate performance indicators to measure the work of the internal audit service? X The annual audit plan which is reported to committee includes performance indicators. Activities and Functions: External Audit 49. Are follow up audits by external audit monitored by the committee? X The Committee receives progress reports on action plans arising from external audit. 50. Does the committee consider the adequacy of implementation of external audit recommendations? X The external auditors include in their current report information on the action which has been undertaken by the Council to implement recommendations from the previous audit and this is duly presented to the committee. Additional meetings with the external auditor can be arranged as required. 51. Do the external auditors present their audit plans and strategy to the committee for review? X The committee receives an annual report on the External Audit plan. 52. Does the committee assess the performance of external audit? X External auditors attend the committee to present their reports and are, therefore, open to questions and challenge.
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15 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 53. Is the committee clear regarding its role in the rare event of external audit qualifying the Council’s financial statements? X If the Council’s accounts were qualified, the committee would require a further report and would undertake a review of areas qualified to ensure adequate improvement actions had been put in place. Activities and Functions: Financial Reporting 54. Does the committee monitor the integrity of financial statements and announcements and review significant financial reporting judgements? X In addition to the reports initiated by officers, the committee may also raise any other significant matters. 55. Does the committee review the financial statements, external auditor’s opinion and reports to members, and monitor management action in response to the issues raised by external audit? X This information is presented to committee for consideration. 56. Does the committee consider significant accounting policies and any changes to them? Does it at least annually assess whether the Council has adopted appropriate accounting policies? X The committee approves Accounting Policies annually. 57. Does the committee consider whether the financial statements satisfy all statutory and regulatory requirements to which the Council is subject? X The external auditors annual report provides assurance on the financial statement’s compliance with all statutory and regulatory requirements. The committee is guided by the professional advice of the officers presenting these reports and is able to question/scrutinise as appropriate.
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16 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions Activities and Function: Scrutiny 58. Does the committee consider key matters of their own initiative rather than relying solely on the work of the internal/external auditor or responding to call-in requests? X There is a standing agenda item to enable Members to raise matters of their own volition for consideration at future meetings. The Committee has initiated over the period a number of requests for reports to scrutinise aspects of Council business. Over the financial year 24/25 the following reports were brought to the Committee at its own instigation: • the Community Asset Transfer process • the Council’s Climate Change target and associated policies • statistical data in respect of staffing levels and costs of the Council, by Department, over the last 3 years. • the nature of housing tenancies and fraud. • To receive a report on supplier and quality issues of purple bin lids and the replacement process.
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17 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 59. Does the committee agree an annual programme of scrutiny and review activity? X A number of standing reports are timetabled to the Audit & Scrutiny Committee as a matter of practice e.g. Complaints Report, Council Plan update and performance reports. The standing agenda item for other areas for scrutiny enables Members to bring forward any pertinent matters they wish to have addressed. 60. Does the committee have sufficient resources to undertake investigations or review work? X The committee has received an assurance that the necessary resources would be made available to it in order to conduct reviews. Review 61. Does the committee assess its performance and effectiveness on a regular basis? Do members assess how they could carry out their business more effectively, e.g. timetabling of business? X The committee conduct self- evaluation work See previous comment. 62. Are there KPIs in place against which committee members can assess their performance? X The committee does not consider that KPIs are necessary given that the external auditor’s interim and final reports, internal audit reports and best value reports provide necessary assurance.
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18 Area for focus? Performing as Expected? Special Strength? Evidence for assessment Improvement Actions 63. Has the committee evaluated whether and how it is adding value to the Council? X The committee has not sought to evaluate the value it adds to the Council. It is not clear how such an evaluation might be undertaken. 64. Does the committee produce an annual report and have an action plan to improve any areas of weakness? X The committee does not produce an annual report or action plan. Members consider that to do so would represent duplication, in that its Minutes set out all of the business which has been transacted and this information is placed in the public domain. 65. Has the committee obtained feedback on its performance from those interacting with the committee or relying on its work? X The committee has not formally sought feedback on its performance. Members feel it would be difficult to establish who would be surveyed and how the outcome might be usefully interpreted. For instance, a petitioner attending a meeting of the Audit and Scrutiny Committee to speak to their petition, or an Elected Member attending to present a call-in request, might be satisfied with the committee’s work if they achieve their desired outcome, but this in itself will not necessarily be an effective gauge of the committee’s effectiveness.