Issue - meetings

Sioned Owen, Audit Wales, to present the report.

To accept the Audit Wales report which highlighted the NWEAB's Audit Plan for 2023.

The report was submitted by Sioned Owen (Audit Wales).

It was noted that:-

·         Changes to the ISA 315 was effective for the audit of accounts from 2022/23 onwards.  This meant that the Audit Office was required to undertake far more work to consider risks and then weigh up those risks in terms of the audit, before reporting to the Joint-committee.

·         The Detailed Plan highlighted the risks identified, the fee, the audit team and the timetable of the audit.

·         A materiality level of £73,000 had been set this year, with a lower level for fields considered more important to the reader, such as Senior Officer remuneration and Related Party disclosures.

·         Exhibit 1 on page 10 of the Accounts set out the risks as a result of the auditors' risk assessment of the Accounts.  One significant risk had been noted (Management override), namely the risk that managers could disregard controls.  However, this risk was relevant in all entities and in all audit plans in Wales, but the auditors were required to respond to that risk as part of the audit procedures.

·         The two risks in Exhibit 2 on page 11 of the Accounts where generic in nature also and included in the majority of audit plans again this year.

·         No risks specific to the North Wales Economic Ambition Board Joint-committee alone had been noted this year.

·         Exhibit 3 on page 12 of the Accounts set out the timetable for the audit work.  The auditors estimated completing the work of auditing the accounts by the beginning of November and to present the report to the Board by the middle of the months, but were keeping that timetable under review with officers.

·         The proposed fee for 2023 had increased approximately 15%, namely approximately 5% as a result of inflation and 10.2% for the impact of the revised auditing standard ISA 315 on the financial audit approach.  Should the actual fee be lower than that, the NWEAB would be reimbursed.

The Chair thanked the representative of Audit Wales for the presentation.

RESOLVED to accept the Audit Wales report which highlighted the NWEAB's Audit Plan for 2023.

REASONS FOR THE DECISION

In order to fulfil their responsibilities as external auditor and to fulfil their obligations under the Code of Audit Practice, Audit Wales complete work each year to meet the following duties:-

·         Audit the North Wales Economic Ambition Board Joint Committee’s financial statements to make sure that public money is being properly accounted for;

·         The Joint Committee has to put in place arrangements to get value for money for the resources it uses, and the Auditor General has to be satisfied that it has done this.