Issue

internal controls

4 stories · discussed at 3 council meetings · 3 councils

Tower Hamlets Council is currently addressing persistent weaknesses in its internal controls and financial management.

In September 2026, external auditors Ernst & Young (EY) reported persistent weaknesses in Tower Hamlets Council's internal controls, financial sustainability, and contract management for the year ended 31 March 2026. The Audit Committee was informed that four statutory recommendations and six significant weaknesses remain outstanding, with actions often implemented too late to demonstrate effectiveness.

Separately, in June 2026, Kingston Council's Chief Audit Executive described its risk management arrangements as "reasonable", indicating a generally sound system with some minor weaknesses. Looking ahead, internal controls are scheduled for discussion at a Lewisham Council Licensing Sub Committee B meeting in October 2026.

This follows EY's December 2025 report which identified 'significant weaknesses' in Tower Hamlets Council's governance and financial management, proposing a new statutory recommendation on internal investigations. Internal controls are procedures established by an organisation to ensure reliable financial reporting, operational efficiency, and compliance.

Key facts

  1. In September 2026, external auditors Ernst & Young reported four statutory recommendations and six significant weaknesses in Tower Hamlets Council's internal controls remain outstanding. Source 1 Source 2
  2. Ernst & Young's report in September 2026 concerned Tower Hamlets Council's internal controls for the year ended 31 March 2026. Source
  3. In June 2026, Kingston Council's Chief Audit Executive described its risk management arrangements as "reasonable". Source
  4. In December 2025, Ernst & Young identified 'significant weaknesses' in Tower Hamlets Council's governance and financial management. Source
About this summary

This summary was written automatically from our published stories and the council meeting records they draw on. It describes what councils have discussed and decided; it does not take a view on any decision. Each key fact links to the story it comes from. Updated 30 September 2026. Spotted a mistake? Email community@opencouncil.network.

Latest stories

  1. Tower Hamlets Council Faces Persistent Audit Concerns Over Financial Sustainability and Controls Tower Hamlets Council continues to face significant audit concerns, with external auditors Ernst & Young (EY) identifying persistent weaknesses in the council's financial... Tower Hamlets 25 September 2026
  2. Weaknesses persist in Tower Hamlets' internal controls Tower Hamlets Council continues to face persistent weaknesses in its internal controls, according to the latest findings from external auditors Ernst & Young (EY). Tower Hamlets 25 September 2026
  3. Kingston Council's 'reasonable' risk management questioned over assurance levels Kingston Council's risk management arrangements have been described as reasonable by its Chief Audit Executive, a term that has prompted questions from councillors regarding the... Kingston upon Thames 26 June 2026
  4. Tower Hamlets Auditor Finds 'Significant Weaknesses' in Financials and Governance; Council Responds Tower Hamlets Council is grappling with 'significant weaknesses' in its governance and financial management, according to a new report from external auditor Ernst & Young LLP... Tower Hamlets 5 December 2025