Wandsworth Council's Audit Committee has approved the Annual Governance Statement for 2025/26, following an amendment to a paragraph concerning post-election governance arrangements. The committee met on Thursday, July 30, 2026, to review the statement, which assesses the council's governance, risk management, and internal control frameworks.

The Annual Governance Statement, a statutory document required by the Accounts and Audit Regulations 2015, is informed by the council's internal audit work and the opinion of the Chief Audit Executive (CAE), Paul Giuliotti, who also serves as Director of Financial Services. The CAE is mandated to provide an annual report on the council's governance, risk management, and internal control frameworks, which underpins the statement's conclusion.

The overall conclusion of the internal audit report indicated that the council has reasonable arrangements in place, though specific areas require management attention. These areas include:

  • Information and Cyber Security
  • Organisational Capacity and Workforce Sustainability
  • Contract Management and Third Party Assurance
  • Major Programmes and Project Governance
  • Financial Sustainability and Transformation
  • Risk Management Framework
  • Housing Governance and Regulatory Compliance

A circular diagram illustrating seven key principles of good governance, risk management, and accountability, with arrows indicating a cyclical process.
Key principles of governance

During the meeting, a significant discussion centred on a paragraph in the draft statement that addressed interim governance arrangements following the May 2026 local elections. Councillor Stephen Worrall proposed removing the paragraph, citing its perceived political nature and factual inaccuracies. He stated that the paragraph was factually not accurate, and it won't be accurate for a considerable period of time because the OSCs, et cetera, are not operational. Specifically, he objected to the section referring to July 2026 onwards due to its perceived political slant and inaccuracies regarding operational mechanisms.

A compromise was reached to retain the factually correct initial part of the paragraph while excising the section pertaining to July 2026 onwards. The committee approved the statement with this amendment.

The approved statement signifies that the council has acknowledged and addressed concerns regarding the factual accuracy and political nature of the removed section. While the council generally maintains effective governance arrangements, the identified control weaknesses and governance issues are being addressed through existing action plans. The council will continue to monitor progress on these plans to strengthen its governance, risk management, and internal control frameworks.

Portrait of Kevin Holland, Assistant Director for Fraud, Risk and Insurance, who presented the strategic review of risk management at the Wandsworth Council Audit Committee meeting.
Kevin Holland, Assistant Director for Fraud, Risk and Insurance

Action plans are in place to address all identified weaknesses, with the Audit Committee set to receive ongoing assurances throughout the 2026-27 year regarding the closure of these control gaps. For Housing Governance and Regulatory Compliance specifically, a Housing Improvement and Transformation Plan was approved by Cabinet on 26 January 2026, and a Housing Improvement and Transformation Board is being reinforced to oversee its delivery and monitor progress.

A bar chart showing the distribution of audit assurance opinions over three audit plan years, indicating a trend towards positive opinions.
Distribution of Audit Assurance Opinions

The meeting agenda and public reports pack can be found at Agenda frontsheet 30th Jul 2026 19:30 Audit Committee and Public reports pack 30th Jul 2026 19:30 Audit Committee respectively.