Issue - meetings

70.1     The Board considered a report by the Chief Internal Auditor introduced by Danny Simpson, Principal Auditor.

70.2     The following points were highlighted to the Board:

1)    The three reports presented to the Board concluded the internal audit work for the Fund in the 2025/26 financial year.

2)    Internal Audits on Pension Fund Investments and Administration of Pension Benefits were given an audit opinion of Substantial Assurance.

3)    A review of the Preparedness for Pooling Reform was undertaken by internal audit and provided a positive position statement instead of a formal audit opinion due to there not being enough known information at the time of the audit activity.

4)    There are 75 audit days proposed within the Council’s Internal Audit Strategy for Pensions 2026/27.

70.3     The Board noted that receiving an audit position statement around pooling rather than a formal audit opinion highlights both how much is still unknown and the limited control environment the Fund has regarding the changes arising from pooling reform.

70.4     The Board acknowledged that the Fund has a robust internal control environment and officers of the Fund are engaging at all levels to ensure compliance with the pension reforms as they emerge.

70.5     The Board RESOLVED to:

1) note the Internal Audit reports as set out at Appendix 1 (Pension Fund Investments), Appendix 2 (The Administration of Pension Benefits) and Appendix 3 (Pension Fund - Preparedness for Pooling Reforms) of the report; and

2) note the Internal Audit Strategy for Pensions and Annual Plan 2026/27 as set out at Appendix 4 of the report.