Lifting the Lid 2: Accounting and Governance
Re Risk management and internal control: Did you know that: The Parish Council must ensure that it has a sound system of internal control, which delivers effective financial, operational and risk management. It is unclear if this is the case. The recent Finance and Audit Committee set up appeared to be unworkable and it is questionable why it was set up at all. The same could be said for the Planning Committee. That at least once a year, the Council must review the effectiveness of its system of internal control, before approving the Annual Governance Statement (ie completing the AGAR Form). This can only be done by the full council not a working party or a committee. It is not a tick box exercise and the process demands both scrutiny and honesty. Any accounting control systems determined by the RFO must include measures to: ensure that risk is appropriately managed; ensure the prompt, accura...