Agenda item

The report was introduced by Jamie Bewick. It was noted that Grant Thornton were required by the Audit Commission to certify certain claims and returns submitted by the Council. The report gave a summary of Grant Thornton’s overall assessment of the Council’s management arrangements in respect of the certification process and drew attention to significant matters in relation to individual claims.

Grant Thornton certified two claims and returns on behalf of the Audit Commission for the financial year 2013/14 relating to expenditure of £235.7million. They were Housing Benefits and Housing Capital Receipts Pooling. Panel members noted that Grant Thornton also certified the Teachers Pension return which also required certification but was not part of the Audit Commission’s regime. Panel Members were informed that 9 types of errors were discovered, which was more than in previous years.

Audit Panel noted that the errors were linked to changes in benefit regime; increase in claimants and record keeping. Jamie Bewick said Lewisham disposes its records after 6 years, and might want to keep it longer as a precaution. Councillor Hooks asked what the guidance advised, and was told the DWP do not have a limit. Jamie Bewick said most councils keep it for 5 years because of the sensitive information. He emphasised there were only a small number of cases with errors.

Mr King said 9 errors on a sample of 60 cases was equivalent to 15% which was a large amount. Councillor Slater asked whether the errors occurred because claimants did not put down the right information. Mr Bewick said this was partly because claimants income could change within a week. Councillor Slater asked whether sufficient assistant was provided to support claimants, and the Head of Financial Services replied that the Benefits Manager would be able to answer this query. Councillor Slater stated it would be helpful if the Benefits Manger was invited to the next Audit Panel to explain what the errors consisted of.

Mr Bewick said the errors were not material and there was no cause for alarm, although the Council should not be complacent. Councillor Slater said he would agree with Mr Bewick’s statement but was concerned that patterns were emerging and the problem would need to be addressed. The Head of Corporate Resources said he understood Panel Members need to invite the Benefits Manager to address their concerns, but the June meeting might not be the best time as the agenda would be large. The Chair concluded she would decide whether the Benefits Manger would be at the June meeting or a future meeting once she had seen the agenda.

The Chair asked whether concerns raised about the teachers’ pensions had been resolved, and was told that procedures had been put in place to address the problem. The Head of Financial Services said he had met with stakeholders, and the work had been spread across different areas to ensure clear lines of responsibility. He added that the emphasis would be on timeliness, notification for adjustments, and he had requested monthly reconciliations to be part of the process.

RESOLVED that the report be noted.