Audit Committee Chairs CCG Networking - External Audit Perspective
Upcoming SlideShare
Loading in...5
×
 

Audit Committee Chairs CCG Networking - External Audit Perspective

on

  • 430 views

Presented by Emily Hill, Grant Thornton, at the Audit Committee Chairs Networking Forum in July 2013. This presentation discusses the role of external audit, key audit lessons from PCT closedown and ...

Presented by Emily Hill, Grant Thornton, at the Audit Committee Chairs Networking Forum in July 2013. This presentation discusses the role of external audit, key audit lessons from PCT closedown and CCG risks.

Statistics

Views

Total Views
430
Views on SlideShare
430
Embed Views
0

Actions

Likes
0
Downloads
0
Comments
0

0 Embeds 0

No embeds

Accessibility

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Audit Committee Chairs CCG Networking - External Audit Perspective Audit Committee Chairs CCG Networking - External Audit Perspective Presentation Transcript

  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 . South East Coast CCGs Audit Chairs External audit perspective 2 July 2013 Emily Hill Associate Director/ Engagement Lead T 0207 728 3259 M 07880 456 184 E Emily.Hill@uk.gt.com
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 22 External audit perspective Role of external audit External audit appointment and regulation Responsibilities Lessons from PCT closedown Format of the accounts Key relevant audit issues 12/13 CCG establishment risks Key accounting/ audit risks 13/14 Preparation of the financial statements
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 33 Role of external audit – appointment and regulation • For 2013/14, Audit Commission consulted the Commissioning Board on: - appointment of auditor - fee scales • Contracts with audit suppliers to 2016/17 with a possibility of extension for up to 3 years • The Commission sets standards for audit suppliers and regulates the quality • Draft Local Audit Bill proposes abolition of the Audit Commission by April 2015
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 44 Role of external audit – responsibilities Financial statements Your responsibilities are to: • put in place systems of internal control to ensure the regularity and lawfulness of financial transactions • maintain proper accounting records • prepare financial statements that give a true and fair view of the financial position of the body and its expenditure and income. Auditors' responsibilities are to: • give their opinion on financial statements • review and report on as appropriate, other information published with the financial statements, including the annual governance statement, the annual report and the remuneration report • review and report on the summarised financial statements, where these are prepared, and the summarisation schedules • comply with auditing standards.
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 55 Role of external audit – responsibilities (cont.) Use of Resources • Auditors must review and report on an audited body’s arrangements to secure economy, efficiency and effectiveness in its use of resources (the value for money conclusion). • Approach to CCGs will be confirmed in the Commission's VFM guidance for auditors.
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 66 Lessons from PCT closedown – accounts format Similarities with PCT accounts • Follow the Department of Health Manual for Accounts • Tight timescales • Standard format of accounts including relevant disclosures • Significant intra-NHS expenditure and balances • Significant prescribing expenditure and balances • Revenue Resource Limit CCGs are not PCTs! Differences to PCT accounts • Additional NHS England accounting guidance • Limited property, plant and equipment • Limited income (if any) • Healthcare from non-NHS bodies (continuing healthcare and other placements) more significant • Primary Care expenditure limited to Enhanced Services
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 77 Lessons from PCT closedown – key audit issues • Intra-NHS agreement of balances • Disclosures around the PCTs' demise • Continuing care provisions • Tailoring of the proforma statements
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 88 CCG establishment risks – key accounting and audit risks • Opening balances - late and changing guidance - audit of opening balance position? - verification and impairment of transferred assets • Sensitive disclosures - related party transactions - running costs
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 99 CCG establishment risks – preparation of the financial statements • Knowledge and experience of finance staff • Co-ordination with and use of CSUs/ shared finance functions • Arrangements for preparing Annual Governance Statements and Annual Reports • Arrangements for identifying and reporting related party disclosures • Governance arrangements for approval of the accounts
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 1010 Any other questions
  • © 2013 Grant Thornton UK LLP | External Audit Perspective | July 2013 1111