(Public Pack)Agenda Document for Audit and Governance Committee

If you require further information about this agenda please contact: Chaspal Sandhu - telephone: 020 8583 2065; email: chaspal.sandhu@hounslow.gov.uk.

AUDIT AND GOVERNANCE COMMITTEE

A meeting of the Audit and Governance Committee will be held on Monday, 22 March 2021 at 5:00 pm. This is a virtual Audit & Governance Committee meeting.

Please follow the link on the agenda below to access the Council’s YouTube site. Search for the Audit & Governance Committee meeting in the search bar to view the meeting.

Watch the meeting live on YouTube https://www.youtube.com/user/LBHounslow

MEMBERSHIP

Councillor Surinder Purewal- Chair Councillors Richard Eason, Gurmail Lal, Amritpal Mann, Sohan Sumra and John Todd.

AGENDA

1. Apologies for absence, declarations of interest or any other communication from Members

2. Minutes of the meeting held on 11 January 2021 and matters arising (Pages 3 - 7) from the minutes

3. Review of polling districts and polling places in the London Borough of (Pages 8 - 52) Hounslow - new electoral ward arrangements - Kully Tumber

4. Draft Internal Audit Plan 2021/22 - Mike Pinder (Pages 53 - 69)

5. Progress report on the work of internal audit and anti-fraud (q3) - Mike (Pages 70 - 83) Pinder

6. 2019/20 Statement of Accounts - Verbal Update from Lucy Nutley (Mazars)

7. 2020/21 External Audit Report - Rupa Raghwani (LBH) and Lucy (Pages 84 - 96) Nutley (Mazars)

8. Quarterly Monitoring of Corporate Risk Register - Mike Pinder (Pages 97 - 131)

9. Urgent business Any other items which the Chair accepts for consideration on the grounds of urgency

DECLARING INTERESTS

Committee members are reminded that if they have a personal interest in any matter being discussed at the meeting they must declare the interest and if the interest is also a prejudicial interest then they may not take part in any discussion or vote on the matter.

Niall Bolger, Chief Executive, London Borough of Hounslow, Hounslow House, 7 Bath Road, Hounslow TW3 3EB

11 March 2021

Agenda Item 2

At a virtual meeting of the Audit and Governance Committee held on Monday, 11 January 2021 at 5:00 pm. Present: Councillor Richard Eason (in the Chair) Councillors Surinder Purewal, Sohan Sumra, Richard Eason, Amritpal Mann and John Todd

1. Apologies for absence, declarations of interest or any other communication from Members

As the Chair was experiencing technical difficulties, Councillor Richard Eason was elected to chair the meeting.

Councillor Purewal dialled into the meeting over the telephone.

Apologies for absence were received from Councillor Lal.

2. Minutes of the meeting held on 28 September 2020 and matters arising from the minutes

The minutes of the meeting held on 28 September 2020 were agreed as an accurate record of the meeting.

3. Review of polling districts and polling places in the London Borough of Hounslow (new electoral ward arrangements) - Kully Tumber

See the submitted report from Kully Tumber, Head of Electoral Services – Agenda Item 3

Kully Tumber presented the submitted report and invited members’ questions.

Councillor Richard Eason advised that he would be happy to sit as a member on the informal Electoral Review Panel once it was established.

Councillor Eason moved that the recommendations within the report be approved and this was seconded by Councillor Purewal. The recommendations within the report were agreed unanimously.

Resolved:

1. That the Audit and Governance Committee agreed to establish an informal Electoral Review Panel.

2. That the draft terms of reference for the informal Electoral Review Panel set out in Appendix One of the report were approved.

3. That appendices Two - Twenty-Three were reviewed as a basis for the Electoral Review Panel to use as a starting point for drafting polling districts and polling places proposals. 3

4. Treasury Management Strategy, Investment Strategy and Minimum Revenue Provision Policy 2021/22 - Lorelei Watson

See the submitted report from Lorelei Watson, Head of Strategic Finance; Treasury, Pensions and Audit– Agenda Item 4

Clive Palfreyman, Executive Director of Finance & Resources, presented the submitted report and invited members’ questions. He advised that the report was being presented to the Audit & Governance committee prior to formal approval at the budget/tax setting Borough Council meeting in February 2021.

Councillor Amrit Mann asked about the impact of Covid 19 on interest rates, bank base rates and the Council’s investment strategy. Clive Palfreyman advised that details about the strategy going forward were outlined in paragraph 4.10 of the report. However, he advised that the situation was likely to remain fairly static. It was noted that there was a lot of economic uncertainty due to Covid and Brexit and that the Council’s projections had been benchmarked against projections from other organisations.

In response to a question from Councillor Todd, Clive Palfreyman advised that the market value of the Multi Asset Income Fund, as it stood currently, could be shared with the committee.

Resolved:

 That the Audit & Governance Committee were requested to review the proposed Treasury Management Strategy and suite of reports attached to the report.

 That the Audit & Governance Committee noted the following recommendations which would be proposed at Borough Council in February 2021.

1. To adopt the:

(i) Treasury Management Annual Strategy (ii) Annual Investment Strategy (Appendix A) (iii) Statement on Minimum Revenue Provision (Appendix B) (iv) Prudential and Treasury Indicators (Appendix C)

2. The Council to authorise the Executive Director of Finance & Corporate Resources to: (i) Use short-term (temporary) borrowings.

(ii) Use cash held in internal funds to offset the need to borrow externally.

(iii) Use long-term borrowings subject to interest rates at the time of offer: (a) to take long-term loans, as required, from the Public Works Loan Board, and /or Municipal Bonds Agency, if appropriate (b) to take long term loans from the money markets using any of the loan instruments available to the Council as deemed most appropriate at the time of borrowing.

(iv) Invest temporary surplus cash within the constraints of normal cash flow considerations with approved counterparties.

4 (v) Maintain the approved counterparty list, making additions and deletions, and reviewing counterparty limits as necessary.

(vi) Review and appoint external cash fund managers if appropriate, subject to specific conditions for investment.

(vii) Invest the earmarked PFI funds for periods of over two years in organisations meeting our credit criteria.

(viii) Review and implement all prudent debt management functions which are required to produce advantages to the Council’s long-term interest rate liabilities. This may include reviews of asset lives within the Minimum Revenue Provision (MRP) policy.

(ix) Subject to available rental levels, to finance appropriate expenditure through leasing arrangements

(x) Operate the loan facilities made available for the implementation of the Property 360 Investment Plan.

5. 2019/20 Statement of Accounts Update - Rupa Raghwani and Lucy Nutley ( Mazars)

See the submitted report from Clive Palfreyman, Executive Director of Finance & Resources - Agenda Item 5

Rupa Raghwani, Assistant Director of Corporate Finance, introduced the item and advised that the deadlines for both the preparation of the statement of accounts and auditing deadlines had been extended this year because of the Covid 19 pandemic. At this stage, the auditing work was ongoing and was in the final review stages of the audit process.

Rupa Raghwani clarified that Appendix A of the report contained a report from the Financial Reporting Council and Appendix B contained Mazars response to some of the findings within the report.

Lucy Nutley, Engagement Lead for the external auditor (Mazars), advised that auditing of the 2019/2020 financial statement was still ongoing. One of the key actions taken by Mazars, as a result of the FRC report, was to create a new process called ‘Hot Review’. As part of the hot review process, a member of the independent technical team would review the file for areas of significant risk. The hot review was a very thorough review of all the work that had been carried out. Ms Nutley advised that the review had highlighted some areas where there was insufficient evidence around property valuations. Mazars were working with the Council and the external valuer to obtain evidence which was required to support the property valuations. She emphasised that the work was ongoing and was a priority which would be completed as soon as possible. Ms Nutley confirmed that the valuation process needed to be completed before the audit could be concluded.

In addition, some of the work on ICT general controls had been identified as not complete and further actions were being taken to ensure it was completed as a priority.

In response to a question, Ms Nutley advised that the deadline for audit completion had been extended to 30th November 2020. She advised that Mazars were still communicating with the valuer and the information being received would determine how long it would take to complete the audit.

5 Several questions were raised by Members with regard to the property valuations. Ms Nutley advised that one of the property valuation queries related to Hounslow House. She advised that no devaluation of assets due to Covid 19 had been identified. The valuers had applied a material valuation uncertainty to valuations of land and property. The LBH valuations had been completed by 31st March 2020, just before the first national lockdown, and a reduction in the value of assets would likely be seen in 2021.

Councillor Purewal expressed concern and disappointment that no dates or assurances could be given for when the accounts would be audited and signed off. Ms Nutley advised that she was reluctant to give a date and not be in a position to meet it. She advised that, firstly, it was it was important to understand the stage at which the valuer had reached in the process. She emphasised that she and the valuer were working as quickly as possible. Councillor Todd noted that Mazars had a five-year contract with the London Borough of Hounslow and this was the second year of the contract where the deadlines for the audit had not been met. Ms Nutley advised that this year had been particularly difficult due to the pandemic. She advised that staff had been auditing remotely and that queries were taking longer to resolve.

Councillor Todd noted that Mazars also completed audits for the London Borough of Hackney and the London Borough of Harrow. Ms Nutley confirmed that neither Harrow or Hackney had received a completion or sign off on the accounts yet and that both Boroughs were at similar stages to Hounslow.

In response to further questions about the property valuations, Karen Murray, Director of Mazars and Head of Audit Government, advised that the process was very complex as the properties being valued were all very different. Valuers were being asked a lot of very detailed questions which was time consuming. Ms Murray advised that a significant number of local authorities did not receive the audit opinion on their accounts by the target date. The delay was not confined to any particular supplier and all five firms operating within the market struggled with the deadline. She advised that processes were taking significantly longer and it had been recognised that the July deadline was unachievable.

Councillor Eason expressed shock that the accounts had not yet been signed off as audited and complete and he expressed concern about severe reputational damage to the Council. He suggested that as a way forward it would be useful to have a weekly update via email from Mazars outlining what had been achieved each week and what works were planned for the week ahead. Ms Nutley advised that she would be happy to send out a weekly update communication.

Resolved:

That the Audit & Governance Committee noted the attached letter from the external auditors, Mazars LLP.

6. Quarter 2 - Audit & Investigation Performance Report - Mike Pinder

See the submitted report from Mike Pinder, Head of Audit & Investigations – Agenda Item 6

Mike Pinder, Head of Audit & Investigations, presented the submitted report which outlined the work undertaken by the Audit & Investigation Shared service to the end of quarter 2.

Councillor Sumra queried how many people oversaw housing allocations and how they were monitored when carrying out their roles. He advised that a lot of complaints were 6 received about the allocations processes and he felt it was important for procedures to be checked and investigated. Mike Pinder advised that there were plans to commence an audit and investigation of housing allocations. He advised that the team would be looking for transparency and objectivity within the process and would report back with the findings to a future Audit & Governance meeting.

Councillor Todd sought clarification about the meaning of ‘deputyships’. Mike Pinder advised that the Council would help clients that did not have anyone to look after their money and would then take responsibility for managing their bank accounts and charges.

Resolved:

That the Audit & Governance committee noted the report on the quarter two update.

7. Urgent business

The Executive Director of Finance and Resources was asked for his comments regarding the delays in completion of the audit of the financial statement 2019/2020. He expressed concern that assurance on the accounts could not be given whilst the audit completion was still outstanding. Support had been offered to help bring the accounts audit to completion as quickly as possible and a good planning process for next years audit would be devised to meet the deadlines in September 2021.

8. Date of the next meeting

The date of the next meeting was noted as 22nd March 2021

The meeting finished at 6:40 pm.

7 Agenda Item 3

Report for: ACTION

Contains Confidential No or Exempt Information

Title Review of polling districts and polling places in the London Borough of Hounslow - new electoral ward arrangements Member Reporting Cllr Pritam Grewal Contact Details Sonia Phillips Telephone: 020 8583 2110 For Consideration By Audit & Governance Committee Date to be Considered 22 March 2021 Implementation Date if N/A Not Called In Affected Wards All Keywords/Index Polling district, polling places

1. Details of Recommendations

1. To agree the proposals as set out in appendices One - Twenty-Two. 2. Once proposals are agreed, to carry out consultation with key stakeholder in accordance with the timetable as set out in this report.

2. Report Summary London Borough of Hounslow (Electoral Changes) Order 2020, to implement recommendations made by the Local Government Boundary Commission for England (LGBCE) for new electoral arrangements in Hounslow Council, was made on 12th October 2020. This means, new ward arrangements for Hounslow Council come into force at the local elections in May 2022. Electoral Registration and Administration Act 2013 requires the Council to carry out a review of the Borough’s polling districts, and polling places every five years. The last compulsory review was completed in October 2019. The next scheduled review is due to take place between 1 October 2023 – 1 February 2024.

The Act also requires the Council to keep under review the polling district and polling places at other times. Due to major ward boundary changes set out in the Hounslow Electoral Changes Order it is recommended not to wait for the next compulsory review but to carry out a full polling district, polling place and polling station review as soon as possible. 8

At the January 2021 Audit & Governance Committee it was agreed to set up an Electoral Review Panel. The Panel consists of Councillor’s Dennison, Foote, Gill, Malik, McGregor and Smith. The Panel met on four occasions and considered the draft proposals for each of the 22 new wards. The Panel agreed a criteria to follow when creating proposals:

Location Is it reasonably accessible within the polling district? Does it avoid barriers for the voter such as steep hills, major roads, rivers, etc. Size Can it accommodate more than one polling station if required? If multiple polling stations are required, is the polling place capable of accommodating all voters going into and out of the polling stations, even where there is a high turnout.

Availability Is the building readily available in the event of any unscheduled elections? Is there any possibility that the building may be demolished as part of a new development?

Accessibility Is the building accessible to all those entitled to attend the polling place? Is there adequate facilities available to staff?

Reduce impact to electors Minimise changes to polling stations and where possible to reduce walking distance to polling stations.

After reviewing the draft proposals, the Panel suggested additional polling station venues, which resulted in the redrawing of some of the polling district boundaries.

The additional venues are listed, below. A site visit has been carried out to all suggestions, apart from Christian Community Church West London, as the caretaker was unavailable. The mobile unit at Field Lane is subject to Hounslow Highways suitability survey in regards to the power supply and to ascertain if the location can accommodate a large mobile unit.

Reference Polling place/polling station Comments Brentford East The Musical Museum, BRE2 399 High Street Brentford, TW8 0DU Chiswick Riverside St Michael’s Parish Hall, CHR4 Elmwood Road, Chiswick, W4 3DY Cranford The Hub Community Centre, CRA4 103 Salisbury Road, Hounslow, TW4 7NW Hanworth Hanworth British Legion, HWV5 22 Cross Road, Feltham, TW13 6QW Hounslow Central Hounslow Youth Centre, HOC3 Kingsley Road, 9 Hounslow, TW3 1QA Hounslow East Christian Community Church Subject to site visit HOE3 West London, seeking suitability Pears Road, Hounslow, TW3 1SS Hounslow Heath Suffah Nursery, HOH4 367 Wellington Road South, Hounslow, TW4 5HU Hounslow South Maswell Park Church, HOS3 Heath Road, Hounslow, TW3 2NN Hounslow South ROWE Community Centre, HOS5 Unwin Road, Isleworth, TW7 6HX Hounslow West The Hub Community Centre, HOW4 103 Salisbury Road, Hounslow, TW4 7NW Syon SYO5 *Mobile unit Subject to Hounslow Field Lane, Highways site visit and Brentford, TW8 8JN access to power supply.

Once the proposal are agreed, the consultation process will commence in accordance with the following timetable.

Event Date (2021) Consult with stakeholders. 7 June – 2 August Electoral Review Panel to analyse feedback from Mid August consultation Report to Audit & Governance with recommendation to September Borough Council Final recommendation to Borough Council October/November

Key stakeholder will consist of interested groups/bodies, electors, candidates and agents, political parties and members of the council, MP’s .

It will be particularly important to consult with those who have specific experience of assessing access for persons with different disabilities. These include disability sections or occupational health departments within the council, as well as local and national disability groups.

Any persons involved in the consultation will have the right to comment on the proposals, suggest alternative polling districts/polling places and encouraged to give a reason for the alternative proposal so that it may be given appropriate consideration.

3. Reason for Decision and Options Considered

It is recommended to carry out a full polling district, polling place and polling station review as soon as possible and not wait until the next compulsory review due in 2024, due to major ward changes at the next local elections in May 2022. 10

Option Comments To carry out a polling district review Electors wising to vote in person at a polling which will come into effect as the station will be provided with locations that new ward boundaries in May 2022 are easily accessible in their new ward

Not to carry out a review and wait Electors may have further to travel when until the next compulsory review voting in the local elections in May 2022. which will be carried out in 2024. Some current voting locations will be in “new wards” and may cause confusion amongst the electorate.

4. Key Implications

Polling district and polling station proposals to be considered by the Audit and Governance Committee. Once agreed a formal consultation process with key stakeholders will be conducted.

5. Financial Details

5.1 At the current time, it is not possible to provide exact financial details. However, if proposals reduce or eliminate the use of hiring mobile units as polling stations, then there could be potential savings of c£65,000.

5.2 Comments of the Director – Finance and Corporate Services

There are no direct financial consequences arising from this report, however as detailed planning for new polling stations takes effect for the new ward structures, additional costs and savings may materialise which should all be managed within existing Election budgets.

6. Legal

6.1 Legal Details

Section 17 of The Electoral Registration and Administration Act 2013 makes provision about the timing of reviews of polling districts and places by local authorities in Great Britain requiring a review every 5 years The section does not prevent a local authority carrying out a review of some or all of the polling districts or polling places in its area at other times. Schedule A1 of The Representation of the People Act 1983 sets out the necessary steps for the review, including provisions about notice and consultation.

The terms of reference for the Audit and Governance Committee include:

3. To review any issue referred to it by a member of the Corporate Leadership Team, Section 151, or any council body. 7. To review the council’s compliance with its own and other published standards and controls.

6.2 Comments of the Head of Governance

Under the Council’s constitution, any decision which involves an alteration to boundaries of the Borough, Parliamentary11 constituencies, wards or polling districts are a matter reserved to the Council itself.

7. Value For Money

There is no value for money implications.

8. Sustainability Impact Appraisal

Not applicable.

9. Risk Management

The key risk associated with this review is that electors may not realise that the location of their polling station may have changed. This risk will be mitigated against in several ways, including highlighting that the location of their polling station has changed in a letter to all electors, highlighting the location of the new polling station on electors’ poll cards, and providing additional signage at the new location and signs at the old polling station directing electors to the new polling station.

10. Links to Council Priorities

To create an ambitious council which improves the lives of residents and works in a transparent way.

11. Equalities, Human Rights and Community Cohesion In making the proposals for changes to the existing polling scheme, the Council will seek to minimise any disadvantages and take steps to meet the needs of disabled people with the aim of increasing participation of underrepresented groups.

12. Staffing/Workforce and Accommodation implications:

This is a major project which must be delivered within a relatively short time. Officers will be required to give priority to the electoral review project.

13. Property and Assets

None.

14. Any Other Implications

None.

15. Consultation

An eight-week consultation exercise will be carried out with all stakeholders.

16. Timetable for Implementation

See timetable in Report Summary.

17. Appendices Appendix One – Twenty-two – Polli12ng district and polling place proposals

18. Background Information http://www.lgbce.org.uk/ http://www.legislation.gov.uk/id/uksi/2020/1108 https://www.legislation.gov.uk/ukpga/1983/2/schedule/A1 https://maps.hounslow.gov.uk/map/Aurora.svc/run?script=%5cAurora%5cPolling+District+R eview.AuroraScript%24&nocache=604664988&resize=always

REPORT ENDS

13 Appendix 1 - Bedfont ward

BED1 Airport Church Revival Centre

Appendix 1 - Bedfont ward

St Mary’s Church Hall Bedfont Library BED3 BED2 Southville Community Centre

BED4

15 Appendix 2 – Brentford East ward

Clayponds Community Centre

BRE1

BRE2

BRE3

Mission Hall The Musical Museum

Projected 2024 Distance for electorate for furthest elector to Proposed polling Map ref proposed polling proposed polling Additional comments place/polling station district (inclusive of station by foot postal voters) (approx) Clayponds Community Existing polling station (Brentford ward, BRE1 2438 Centre, Clayponds Gardens, 1.0km (0.6 miles) polling district TC) Ealing, London, W5 4RQ The Musical Museum, 399 BRE2 3047 High Street, Brentford, TW8 0.75km (0.5 miles) Not previously used as a polling station. 0DU Mission Hall, Mission Existing polling station (Brentford ward, BRE3 2448 0.7km (0.4 miles) Square, Brentford, TW8 0SD polling district TB)

16 Appendix 3 – Brentford West ward

St Faith’s Church

BRW1

BRW2

Brentford Free Church

Projected 2024 Distance for electorate for furthest elector to Proposed polling Map ref proposed polling proposed polling Additional comments place/polling station district (inclusive of station by foot postal voters) (approx) St Faith's Church, Windmill Existing polling station (Brentford ward, BRW1 4730 1.3km (0.8 miles) Road, Brentford, TW8 9NA polling district T) Existing polling station (Brentford ward, Brentford Free Church, polling district TA). Polling station to serve BRW2 2414 Boston Manor Road, 700m (0.4 miles) voters from BRW2 and SYO3, the Brentford, TW8 8DW neighbouring proposed polling district in the new Syon and Brentford Lock ward

17 Appendix 4 – Chiswick Gunnersbury ward

Gunnersbury Triangle Sports & Social Club

18 CHG1

CHG2

Age Concern Chiswick

Appendix 4 – Chiswick Gunnersbury ward

The Main Hall, Chiswick Town Hall

CHG3 CHG4

Chiswick Christian Centre

Projected 2024 Distance for electorate for furthest elector to Proposed polling Map ref proposed polling proposed polling Additional comments place/polling station district (inclusive of station by foot postal voters) (approx) Gunnersbury Triangle Sports Existing polling station (Turnham Green ward, CHG1 1585 & Social Club, The Ridgeway, 1.5km (0.9 miles) polling district VC) London, W3 8LN Age Concern Chiswick, The Old Folks Friendship Club, Existing polling station (Turnham Green ward, CHG2 1823 450m (0.3 miles) Oxford Road North, polling district V) Chiswick, London, W4 4DN The Main Hall, Chiswick Town Hall, Heathfield Existing polling station (Turnham Green ward, CHG3 4993 950m (0.6 miles) Terrace, Chiswick, London, polling district VB) W4 4JN Existing polling station (Turnham Green ward, Chiswick Christian Centre, polling district VE). Polling station to serve CHG4 1995 Fraser Street, Chiswick, 700m (0.4 miles) voters from CHG4 and the neighbouring London, W4 2DA proposed CHH2 polling district in the new Chiswick Homefields ward

19 Appendix 5 – Chiswick Homefields ward

St Michael’s and All Angels Parish Hall

CHH1

CHH2

Chiswick Christian Centre

20 Appendix 5 – Chiswick Homefields ward

Dukes Meadow St Joseph’s Catholic Community Centre Church

CHH4 CHH3

Projected 2024 Distance for electorate for furthest elector to Proposed polling Map ref proposed polling proposed polling Additional comments place/polling station district (inclusive of station by foot postal voters) (approx) St Michael's and All Angels Existing polling station (Chiswick Homefields CHH1 3093 Parish Hall, Priory Avenue, 700m (0.4 miles) ward, polling district X) Chiswick, London W4 1TX Existing polling station (Turnham Green ward, polling district VE). The building is located in Chiswick Christian Centre, the neighbouring proposed CHG4 polling CHH2 2657 Fraser Street, Chiswick, 1km (0.7 miles) district in the new Chiswick Gunnersbury London, W4 2DA ward. This polling station to serve voters in CHH2 and CHG4 Dukes Meadow Community Existing polling station (Chiswick Homefields CHH3 2717 Centre, Alexandra Gardens, 1.6km (1.0 miles) ward, polling district XB) Chiswick, London, W4 2RZ St Joseph's Catholic Church, Existing polling station (Chiswick Riverside CHH4 1867 Bolton Road, Chiswick, 950m (0.6 miles) ward, polling district WB) London, W4 3TE 21 Appendix 6 – Chiswick Riverside ward

Brentford Fountain Leisure Centre

CHR1

CHR2 St Michael’s CHR4 Strand on the Green Parish Hall Infant & Nursery School

Grove Park Primary School CHR3

Projected 2024 Distance for electorate for furthest elector to Proposed polling Map ref proposed polling proposed polling Additional comments place/polling station district (inclusive of station by foot postal voters) (approx) Brentford Fountain Leisure Not previously used as a polling station. The CHR1 3822 Centre, 658 Chiswick High 700m (0.4 miles) leisure centre is located in the current Road, Brentford, TW8 0HJ Brentford ward (polling district TB) Strand on the Green Infant & Nursery School, Thames Existing polling station (Chiswick Riverside CHR2 1415 900m (0.6 miles) Road, Chiswick, London, W4 ward, polling district WA) 3NX Grove Park Primary School, Existing polling station (Chiswick Riverside CHR3 1945 Nightingale Close, Chiswick, 1.1km (0.7 miles) ward, polling district WD) London, W4 3JN St Michael’s Parish Hall, Existing polling station (Chiswick Riverside CHR4 2339 Elmwood Road, Chiswick, 0.75km (0.4 miles) ward, polling district W) London, W4 3DZ

22 Appendix 6 – Chiswick Riverside ward

23 Appendix 7 – Cranford ward

CRA1

Cranford Primary CRA2 24 School

Cranford Memorial Hall

Appendix 7 – Cranford ward

Church of the Good The Hub Community Shepherd Centre

CRA3

CRA4

Projected 2024 Distance for electorate for furthest elector to Proposed polling Map ref proposed polling proposed polling Additional comments place/polling station district (inclusive of station by foot postal voters) (approx) Cranford Memorial Hall, 39 Existing polling station (Cranford ward, CRA1 2354 High Street, Cranford, 1.4km (0.8 miles) polling district FA) Hounslow, TW5 9RQ Cranford Primary School, Existing polling station (Cranford ward, CRA2 4061 Berkeley Avenue, Cranford, 1.3km (0.8 miles) polling district FB) Hounslow, TW4 6LB Church of the Good Existing polling station (Cranford ward, CRA3 1524 Shepherd, 360 Beavers Lane, 0.7km (0.4miles) polling district FC) Hounslow, TW4 6HJ The Hub Community Centre, Not previously used as a polling station, site CRA4 2826 103 Salisbury Road, 1.1km (0.7miles) visit required. The building is located in the Hounslow, TW4 7NW 25 current Cranford ward (polling district FC) Appendix 8 – Feltham North ward

FMN3

FMN2

FMN1 Unit 9/10 Central Parade Feltham Assembly Hall

Calvary Free Baptist Church

Projected 2024 Distance for electorate for furthest elector to Proposed polling Map ref proposed polling proposed polling Additional comments place/polling station district (inclusive of station by foot postal voters) (approx) Calvary Free Baptist Church, Existing polling station (Feltham North ward, FMN1 2474 Bedfont Lane, Feltham, 750m (0.5 miles) polling district BC) TW14 9NU Feltham Assembly Hall, 25 Existing polling station (Feltham North ward, FMN2 4887 Hounslow Road, Feltham, 1.3km (0.8 miles) polling district BA) TW14 9DN Unit 9/10 Central Parade, Existing polling station (Feltham North ward, FMN3 2470 Sparrow Farm Drive, 1.4km (0.9 miles) polling district BB) Feltham, TW14 0DH

26 Appendix 8 – Feltham North ward

27 Appendix 9 – Feltham West ward

Oak Hill Academy West London

28 FMW1 Appendix 9 – Feltham West ward

Bedfont Lane Community Centre FMW2

Creche Room

FMW4

Feltham Evangelical FMW3 Church

29 Appendix 10 – Hanworth Park ward

The River Room, HWP1 Cardinal Road School

HWP2

Feltham Sea Cadets

St Georges Church

HWP3

30 Appendix 10 – Hanworth Park ward

31 Appendix 11 – Hanworth Village ward

HWV1

Woodlawn Hall Crane Park Children’s Centre

32 HWV2

HWV3 Oriel Academy West London

Royal British Legion

HWV5 Appendix 11 – Hanworth Village ward

HWV4 St Richard’s C of E School

Projected 2024 Distance for electorate for furthest elector to Proposed polling Map ref proposed polling proposed polling Additional comments place/polling station district (inclusive of station by foot postal voters) (approx) Woodlawn Hall, Woodlawn Existing polling station (Hanworth Park ward, HWV1 2314 1.0km (0.6 miles) Drive, Hanworth, TW13 5HX polling district CB) Crane Park Children's Centre, Existing polling station (Hanworth ward, HWV2 2913 Norman Avenue, Hanworth, 0.9m (0.5 miles) polling district EB) TW13 5LN Oriel Academy West London, Existing polling station (Hanworth ward, HWV3 2075 Hounslow Road, Hanworth, 1.4km (0.9 miles) polling district EA) TW13 6QQ St Richard's C of E School, Existing polling station (Hanworth ward, HWV4 1770 Forge Lane, Hanworth, TW13 2.0km (1.2 miles) polling district E) 6UN Royal British Legion, 22 Cross Not previously used as a polling station, site HWV5 2156 0.9km (0.6 miles) Road, Feltham, TW13 6QW visit required

33 Appendix 12 – Heston Central ward

Heston Village Hall

HEC1

Edison Primary School HEC2

Hounslow West Evangelical Church HEC3

Projected 2024 Distance for furthest elector electorate for proposed Proposed polling Map ref to proposed polling station by Additional comments polling district (inclusive place/polling station foot (approx) of postal voters) Existing polling station (Heston Heston Village Hall, New Heston HEC1 2172 750m (0.5 miles) Central ward, polling district Road, Hounslow, TW5 0LW JA) Not previously used as a polling station. This polling Edison Primary School, Vicarage station to serve voters in HEC2 HEC2 4182 Farm Road, 207-211 Vicarage Farm 900m (0.6 miles) and the neighbouring Road, Hounslow, TW5 0AQ proposed HEW4 polling district in the new Heston West ward Hounslow West Evangelical Church, Existing polling station (Heston HEC3 3696 Vicarage Farm Road, Hounslow, TW3 1.1km (0.7 miles) Central ward, polling district 4NW JD)

Appendix 12 – Heston Central ward

35 Appendix 13 – Heston East ward

Norwood Green Junior School

HEE1 36 Community Room

HEE2 Appendix 13 – Heston East ward

Heston Methodist Church Hall

HEE3

Lampton Children’s Centre

HEE4

Projected 2024 electorate for Distance for furthest elector Proposed polling Map ref proposed polling district to proposed polling station by Additional comments place/polling station (inclusive of postal voters) foot (approx) Existing polling station (Heston East ward, polling district I). The Norwood Green Junior school is located in the School, Thorncliffe neighbouring proposed HEE1 1620 1.1km (0.7 miles) Road, Southall, UB2 HEW1 polling district in 5RN the new Heston West ward. This polling station to serve voters in HEE1 and HEW1 Community Room, Existing polling station Biscoe Close, Heston HEE2 1784 1.0km (0.6 miles) (Heston East ward, Farm Estate, Hounslow, polling district IA) TW5 0UY Heston Methodist Existing polling station Church Hall, Heston HEE3 2326 800m (0.5 miles) (Heston East ward, Road, Hounslow, TW5 polling district IB) 0QP Lampton Children's Existing polling station HEE4 3740 Centre, Neville Close, 1.2km (0.7 miles) (Heston East ward, Hounslow, TW337 4DN polling district IC) Appendix 14 – Heston West ward

Community Hall HEW1

38 HEW5 Norwood Green Junior School Appendix 14 – Heston West ward

HEW2 ADMAT HQ Helsinki Centre

Community Centre Springwell Infant and Junior School HEW3 HEW4

Projected 2024 electorate Distance for furthest for proposed polling Proposed polling elector to proposed Map ref Additional comments district (inclusive of postal place/polling station polling station by foot voters) (approx) Existing polling station (Heston East ward, polling district I). Norwood Green Junior This polling station to serve HEW1 2298 School, Thorncliffe Road, 0.8km (0.5miles) voters in HEW1 and the Southall, UB2 5RN neighbouring proposed HEE1 polling district in the new Heston East ward ADMAT HQ Helsinki Existing polling station (Heston HEW2 2722 Centre, Cranford Lane, 900m (0.6 miles) West ward, polling district GA) Heston, TW5 9HQ Community Centre, 106 Existing polling station (Heston 1.0km (0.6 miles) HEW3 1883 Brabazon Road, Heston, West ward, polling district GC) TW5 9LP Existing polling station (Heston Central ward, polling district J). Springwell Infant and The school is located in the HEW4 1969 Junior School, Speart 1.3km (0.8 miles) neighbouring proposed HEC2 Lane, Heston, TW5 9EF polling district in the new Heston Central ward. Community Hall, Convent Existing polling station (Heston HEW5 1586 1.1km (0.7 miles) Way, Southall, UB2 5UG West ward, polling district G) 39 Appendix 15 – Hounslow Central ward

Alexandra Junior School

HOC1

Hounslow Youth Centre

HOC3

HOC2

Maswell Park Church

HOE1 HOE2

Spring Grove Hounslow Youth Primary School Centre

Christian Community Church West London

HOE3

Projected 2024 electorate for Distance for furthest elector Proposed polling Map ref proposed polling district to proposed polling station by Additional comments place/polling station (inclusive of postal voters) foot (approx) Existing polling station (Hounslow Central ward, polling districts PB and PD). The youth Hounslow Youth centre is located in the HOE1 1680 Centre, Kingsley Road, 750m (0.5 miles) neighbouring proposed TW3 1QA HOC1 polling district in new Hounslow Central ward. This polling station to serve voters in HOE1 and HOC3 Spring Grove Primary Existing polling station HOE2 2515 School, Star Road, 600m (0.4 miles) (Hounslow Central Isleworth, TW7 4HB ward, polling district PC) Not previously used as a Christian Community polling station. The Church West London, church is located in the HOE3 2343 650m (0.4 miles) 101a Pears Road, current Hounslow Hounslow, TW3 1SS Central ward (polling district PB)

41 Appendix 17 – Hounslow Heath ward

Wellington Day Centre 42

HOH1 Appendix 17 – Hounslow Heath ward

Alf Chandler Centre HOH3

HOH2

St Stephen’s Church HOH4

Suffah Nursery

Projected 2024 electorate for Distance for furthest elector Proposed polling Map ref proposed polling district to proposed polling station by Additional comments place/polling station (inclusive of postal voters) foot (approx) Wellington Day Centre, Existing polling station HOH1 3044 292 Staines Road, 1.7km (1.0 miles) (Hounslow Heath ward, Hounslow, TW4 5BA polling district N) Alf Chandler Centre, Existing polling station HOH2 3042 Benson Close, 1.2km (0.7 miles) (Hounslow Heath ward, Hounslow, TW3 3QX polling district NA) Existing polling station St Stephen's Church, (Hounslow Heath ward, HOH3 2374 Parkside Road, 750m (0.5 miles) polling district NB). This Hounslow, TW3 3BP polling station to serve voters in HOH3 Suffah Nursery, 367 Not previously used as a HOH4 2101 Wellington Road South, 580m (0.36 miles) polling station Hounslow, TW4 5HU 43 Appendix 18 – Hounslow South ward

R.O.W.E. Community Centre 44

HOS1 HOS5

St Mary the Virgin Church Appendix 18 – Hounslow South ward

Maswell Park Church Chatsworth Primary School

HOS2

HOS3

HOS4

Whitton Tennis Club

Projected 2024 electorate for Distance for furthest elector Proposed polling Map ref proposed polling district to proposed polling station by Additional comments place/polling station (inclusive of postal voters) foot (approx) St Mary the Virgin Existing polling station HOS1 2150 Church, Paget Lane, 900m (0.55 miles) (Hounslow South ward, Isleworth, TW7 6ED polling district Q) Chatsworth Primary Existing polling station HOS2 2400 School, Heath Road, 850m (0.5 miles) (Hounslow South ward, Isleworth, TW7 2NW polling district QB) Existing polling station (Hounslow Heath ward, polling district NB). The church is located in the Maswell Park Church, neighbouring proposed HOS3 2537 Heath Road, Hounslow, 950m (0.6 miles) HOC2 polling district in TW3 2NN the new Hounslow Central ward. This polling station to serve voters in HOS3 and HOC2 Not previously used as a Whitton Tennis polling station. Building HOS4 1795 Club, Kneller Gardens, 1.0km (0.6 miles) is located in the current Isleworth, TW7 7NP Hounslow South ward (polling district QC) R.O.W.E. Community Existing polling station HOS5 1296 Centre, Unwin Road, 400m (0.25 miles) (Isleworth ward, polling Isleworth, TW7 6HX district S)

45 Appendix 19 – Hounslow West ward

The Hub Community HOW4 Centre St Michael’s St Michael and Parish Hall HOW3 St Martin RC Hounslow Heath Primary School Infant & Junior School

HOW2

HOW1

Projected 2024 electorate for Distance for furthest elector Proposed polling Map ref proposed polling district to proposed polling station by Additional comments place/polling station (inclusive of postal voters) foot (approx) Hounslow Heath Infant Existing polling station & Nursery School, HOW1 2792 650m (0.4 miles) (Hounslow West ward, Martindale Road, polling district H) Hounslow, TW4 7HE Not previously used as a St Michael and St polling station. The Martin RC Primary HOW2 2679 700m (0.4 miles) school is located in the School, Belgrave Road, current Hounslow West Hounslow, TW4 7BY ward (polling district H) St Michael's Parish Hall, Existing polling station HOW3 3628 94 Bath Road, 700m (0.4 miles) (Hounslow West ward, Hounslow, TW3 3EH polling district HA) Not previously used as a polling station. The building is located in the The Hub Community proposed CRA4 polling Centre, 103 Salisbury HOW4 1422 700m (0.4 miles) district in the Road, Hounslow, TW4 neighbouring new 7NW Cranford ward. Station to serve voters from HOW4 and CRA4

46 Appendix 19 – Hounslow West ward

47 Appendix 20 – Isleworth ward

St John’s Centre ISL3

St Bridget’s Church Hall 48

ISL1 Appendix 20 – Isleworth ward

ISL2

Bridgelink Centre

49 Appendix 21 – Osterley & Spring Grove ward

OSG1 OSG2 50

St Francis Osterley Library Community Hall Appendix 21 – Osterley & Spring Grove ward

St Mary’s Church

OSG3

St Vincent de Paul Church Hall

OSG4

Projected 2024 electorate for Distance for furthest elector Proposed polling Map ref proposed polling district to proposed polling station by Additional comments place/polling station (inclusive of postal voters) foot (approx) Existing polling station Osterley Library, St (Osterley & Spring OSG1 2265 Mary's Crescent, 1.5km (0.9 miles) Grove ward, polling Isleworth, TW7 4NB district OB) St Francis Community Existing polling station Hall, 865 Great West (Osterley & Spring OSG2 2961 1.5km (0.9 miles) Road, Isleworth, TW7 Grove ward, polling 5PD district O) Not previously used as a polling station. The St Mary's Church, church is located in the OSG3 2748 Osterley Road, 1.2km (0.7 miles) current Osterley & Isleworth, TW7 4PW Spring Grove ward (polling district OC) St Vincent de Paul Existing polling station Church Hall, Witham (Osterley & Spring OSG4 2518 850m (0.5 miles) Road, Isleworth, TW7 Grove ward, polling 4AJ district OA)

51 Appendix 22 – Syon & Brentford Lock ward

Brentford Free Church SYO3

Temporary mobile SYO4 unit Resident’s Clubroom

SYO5 Rose Community Centre

SYO1 SYO2

The Smallberry Green Primary School

Projected 2024 Distance for electorate for furthest elector to Proposed polling Map ref proposed polling proposed polling Additional comments place/polling station district (inclusive of station by foot postal voters) (approx) The Smallberry Green Not previously used as a polling station. The SYO1 2899 Primary School, Turnpike 1.2km (0.7 miles) school is located in the current Syon ward Way, Isleworth, TW7 5BF (polling district RB) Rose Community Centre, Existing polling station (Syon ward, polling SYO2 2188 Hawthorn Road, Brentford, 900m (0.6 miles) district RA) TW8 8NT Existing polling station (Brentford ward, polling district TA). The church is located in Brentford Free Church, the neighbouring proposed BRW2 polling SYO3 2120 Boston Manor Road, 950m (0.6 miles) district in the new Brentford West ward. Brentford, TW8 8DW Polling station to serve voters from BRW2 and SYO3 Residents Clubroom, Existing polling station (Syon ward, polling SYO4 3438 Augustus Close, Brentford, 1.2km (0.8 miles) district RD) TW8 8QE Temporary mobile unit near Temporary mobile unit has not previously Brickfield Community SYO5 1546 0.4km (0.2 miles) placed here. No known public buildings in this Centre, Brickfield Close, proposed polling district Brentford, TW8 8JN

52 Agenda Item 4

Report for: ACTION

Contains Confidential No or Exempt Information Title Draft Internal Audit Plan 2021/22 Member Reporting N/A Contact Details Mike Pinder, Head of Audit & Investigations For Consideration By Audit and Governance Committee Date to be Considered 22 March 2021 Implementation Date if 1 April 2021 Not Called In Affected Wards All Keywords/Index Internal Audit Plan 2021/22

1. Details of Recommendations

1.1 The Audit and Governance Committee is requested to review and approve the Internal Audit Plan for 2021/22. 2. Report Summary

2.1 This report sets out the Internal Audit planning approach and Annual Plan for 2021/22, as attached at Appendix A. In addition, includes a five-year plan, which includes coverage from previous years.

2.2 The overall plan has been developed by applying a risk-based approach. This included meetings with the Executive Directors and Directors. Consideration was also made of previous coverage, the risk register and external sources have also been considered to help prioritise and focus on the highest areas of risk. A review against the Shared Service Ealing plan was also undertaken to consider parallel risks and to try to align some emerging issues. There will continue to be ongoing dialogue to ensure that the plan remains agile to emerging Covid 19 risks and government sign offs, that may mean that adjustments will need to be made in year to adjust resource.

2.3 The plan was presented back to Directors including a discussion at the Corporate Leadership Team to allow for clarification throughout the planning process.

2.4 Finally, in an ever changing environment the plan will remain fluid to allow reflection on a changing risk environment. Changes made in year will be reported to the Audit and Governance Committee, along with progress.

53 3. Reason for Decision and Options Considered

3.1 The Audit and Governance Committee is presented with details in the attached reports, with Appendices A detailing the Internal Audit Plan for 2021/22.

4. Key Implications

4.1 Delivery of the plan will be monitored against targets and reported back to the Audit and Governance Committee each quarter.

5. Financial Details

a) Financial Impact on the Budget

In terms of the impact on the Internal Audit and Investigation service budget, there are no impacts on the basis that all services are delivered within existing budgets.

b) Comments of the Executive Director of Finance and Resources The Executive Director of Finance and Resources liaises closely with the Head of Internal Audit and Investigation on the progress of specific cases.

6. Legal (to be completed in conjunction with the Legal Department)

a) Legal Details

All Local Authorities are required to make a proper provision for Internal Audit in line with the 1972 Local Government Act and Accounts and Audit Regulations 2015 (as amended). The Public Sector Internal Audit Standards (2017) also require the proper planning of audit work. Local authorities are required to demonstrate proper stewardship of public funds in line with the 1972 Local Government Act. The London Borough of Hounslow utilises a fraud and investigation team to assist in its safeguarding of public funds and the recovery of funds that have been misappropriated.

b) Comments of the Head of Governance The Executive Director of Finance and Resources, as the Council’s Chief Finance Officer, continues to have a personal statutory responsibility concerning the proper administration of the Council’s financial affairs notwithstanding any appointment to perform the internal audit and investigation function.

7. Value for Money

Internal Audit seeks to provide value for money both in terms of the delivery of the service and through reviews of individual auditable areas. The

54 investigation team provides good value for money to the Council and residents: the presence of the team helps prevent fraud by acting as a visible deterrent.

8. Sustainability Impact Appraisal

Not applicable.

9. Risk Management

Internal Audit activity is directly influenced by the Council’s risk management processes.

10. Links to Council Priorities

Efficient use of Council resources.

11. Equalities, Human Rights and Community Cohesion

No direct implications arising.

12. Staffing/Workforce and Accommodation implications

None

13. Property and Assets

None.

14. Any Other Implications

None.

15. Consultation

None.

16. Timetable for Implementation

Not applicable.

17. Appendices Appendix A - Internal Audit Plan 2021/22

Internal Audit Plan 2021/22 Hounslow

Draft Internal Audit Plan for 2021/22 To Audit and Governance Committee –22 March 2021

56 Introduction Our role as internal auditors is to provide independent, objective assurance designed to add value and improve the council’s performance. Our remit and approach, as set out in the internal audit charter, is to help you accomplish your objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control and governance processes.

Our approach complies with best professional practice, in particularly the Public Sector Internal Audit Standards. Internal audit's objectives are to: o Remain independent and objective in the delivery of internal audit o Provide assurance to management and the Audit and Governance Committee o Formulate an effective annual operational plan, based upon regular review and risk assessments o Respond to new and emerging risks through on-going liaison with management and provision of adequate contingency o Use benchmarking and comparison to identify wider changes to the sector o Work closely with management and other assurance providers to optimise assurance, develop effective conclusions and recommendations o Work with the anti-fraud service to optimise investigation coverage, promote good controls and fraud preventions and aid management.

This document sets out the planning process, a one-year operational plan for the coming year (2021/22). A strategic plan is also set out covering 2017 to 2020.

57 Planning Process

The planning process is set out in line with the internal audit charter and considers the public sector internal audit standards. It sets out our delivery of the internal audit service and is based upon the following: 1) Developing a framework for the service, which ensures independence and objectivity for internal audit staff. 2) Providing assurance through a systematic approach covering key areas including: o Controls Assurance Monitoring on key financial systems. o Risk based audits to confirm actions are in place to help mitigate risks o Prevention of fraud, linking to the anti-fraud service to help protect services for those with a genuine need o Special projects linking with services to help provide them with assurance following a period of change. o Contract audit to provide assurance on the increasing number of key projects, as well as monitoring of contracts in operation. o Schools audit ensuring all schools are audited over a period of time o Information Communication Technology (ICT) audit to provide assurance on the ICT estate operated by the Council. o Appropriate use of computer aided audit techniques including data matching and analytics to provide whole population testing.

3) Promoting good practice in: o Risk management o Control and fraud prevention o System designed o Governance

4) Adding value by: o Working with management to develop the most effective recommendations o Providing challenge where appropriate o A full review against our shared service partner Ealing’s 5 year plan to identify gaps in coverage and explore key risks for the sector. o Benchmarking with PWC network, London Audit Group and other sources.

5) Optimising assurance by: o Working closely with other assurance providers, such as external audit to optimise coverage. o Utilising the three lines of defence model to draw assurance from available sources. A list of project areas which require internal audit review or independent sign off is also included. The strategic plan internal audit plan is not a definitive list but acts as a planning aid. Setting out a list of areas to help with future year discussions. It is intended that the strategic plan will build over the next few years, but also that it will continue to evolve to reflect a changing risk environment.

58 2021/22 – Operational Internal Audit Plan The operational one plan will remain reasonably fluid to allow areas of emerging risk to be adopted during the year where necessary. Updates will be reported to management and the Audit and Governance Committee during the year.

Topic Description/Indicative Risk Period Scope Assurance (forecast) Council-Wide

Monitoring of implementation of 1 Follow-up recommendations from previous Critical audit reports (Ongoing) Q4 A review of spend outside of central services, e.g. IT, 2 Spend Monitoring Medium Comms. This will be an ongoing monitoring project. Q4 Following the update of the constitution in early 2021 has it 3 Constitution been adopted and complied High with. This will be an ongoing monitoring project. Q4

A review of the project management around the working group, which looks at Future World of 4 ongoing working from home, High Work implications and future use of HH and how the Council are managing staff. Q2

Capital Programme Delivery and A project management based 5 Programme review of the Capital High management Programme Management capacity Q2 Assistant Chief Execs

A review of the recruitment processes. Also to include compliance with the new 6 HR Medium appraisal process. This will be an ongoing monitoring project during the year. Q3

59 Topic Description/Indicative Risk Period Scope Assurance (forecast)

A project based review of how 7 Community Hub the Council is developing the High community hub for the future.

Voluntary Sector A review on the grant allocation 8 Medium Grant process.

Q2 Environment, Culture and Customer Services A risk based review of the Climate Emergency 9 climate emergency planning High Plan work. Q1 A review of the arrangements Health and Safety - 10 for H&S inspections for LA Schools controlled schools High Q2 Finance and Resources ICT

A review of service management to look at ICT - Service incident/problem management, management, 11 incident learning and training. Medium including Change This will also include change management. process and governance for changes on the network. Q1

An overall consideration of the Council's measure to prevent detect a cyber incident. To consider Back-up arrangements 12 Cyber - do they meet good practice. Consider other tools, plans and whether they meet good practices. Critical Q2

60 Topic Description/Indicative Risk Period Scope Assurance (forecast)

To review the Information assets Information 13 recorded by departments and High Governance contractors Q3 Finance Treasury Management and Key Financial System - Review 14 Critical Pensions of controls and processes Investment Q3 Key Financial System - Review 15 Housing Benefits Critical of controls and processes Q3 Key Financial System - Review 16 Housing rents Critical of controls and processes Q3 Key Financial System - Review of controls and processes 17 Agresso System Critical around the Business World Objects system Q3 A review of the financial resilience of the Council to 18 Financial Resilience consider reserves position, savings achievement, cashflow and other key indicators. Critical Q2 Procurement

A review of the temporary staff Temporary Staff 19 contract. Consider use of staff Contract outside of contract. Medium Q1 Children and Adults

Children's Assurance that new Placements - mechanisms are in place to 20 Transition to ensure smooth transition from Adulthood - care. Pathway Plans Medium Q1

A review of the key systems and Preparation for controls relating to a selection of External services subject to external 21 Assessments assessment. To consider areas (Children's and including reporting, quality Adults) assessments and monitoring.

High Q2

61 Topic Description/Indicative Risk Period Scope Assurance (forecast) Commissioning

Contract management Commissioning - arrangements in relation to 22 contract semi-supported providers (16- management 18).

Medium Q3 Housing and Regeneration S20 and service charges. VFM 23 Leaseholders Medium point Q2 Lampton How the Council monitors Monitoring Lampton, a review of data, KPIs 24 arrangements - High and where information and Lampton performance is reported. Q2 Carried forward: An operational 25 Leisure Centres review of processes post Medium transfer in and Covid closing. Q1

Targets for completion to draft report

Profiled Number of Projects Projects Target Q1 5 12 Q2 10 42 Q3 7 72 Q4 3 100 Total 25

62 Cyclical Verification Work This is internal audit work to review e.g., grant claims or income that require independent sign off. Additional requests may be made during the year. Troubled Families Local authority bus subsidy ring-fenced (revenue) grant

Other Work Internal Audit also completes other related work to support the Council. This includes:

- Work of joint interest between the Council & our shared service partner Ealing - Ad hoc advice & controls review - Whistleblowing monitoring etc - Annual Governance Statement development & review - Committee support

63 Hounslow Strategic plan The strategic plan details the coverage from (2018 to 2023 along with the operational plan (set out above for 2021/22). 22/23 is provisional (denoted by P) and will be subject to the planning process next year. The strategic plan is also intended to demonstrate the time elapsed between audits as this may impact on the risk assessment process. The strategic plans of Hounslow and the shared service partner (Ealing) were compared to consider coverage and potential risks in comparison between organisations.

Topic 18/19 19/20 20/21 21/22 22/23 (P) Council Owned Co’s Coalo Services   (planned and reactive maintenance) Coalo – Data  Protection Coalo - Stores  Coalo - Governance  Coalo – HR   Lampton 360:   Housing investment Lampton 360 Waste   and Recycling Lampton 360 – Data  Protection Lampton 360 –  Governance Arrangements Council Owned Companies Governance arrangements - Lampton  - Council   Leisure   Council Wide

Programme Management - Civic Centre     - #1 Hounslow      - Community     Hub Contract Management

- Liberata    - Children and  Adults - Commissioning    Management of  Fieldworkers

Follow-up      Spend Monitoring  - Covid (One off)    Constitution  Future World of Work   Finance and Corporate Resources Controls Assurance Monitoring of key Transferred to individual projects (Key Financials) financial system

Key Financials Payroll   Accounts Payable   Accounts Receivable  Council Tax  NNDR  

65 General ledger and  Cash Treasury   Management and Pensions Investment Housing Benefits   Housing Rents   Agresso System    Pensions  Administration Other Financial Control   Non Accounts  payable payments Savings Plans – monitoring of delivery (Within Financial Resilience) Financial Resilience   Capital 

Procurement  Temporary Staff   Contract Procurement Cards  Utilities  Other Income  Commercial Property  - Income    - Assets    management ICT Data Protection   ICT Cyber Security   Digital Strategy 

66  ICT applications   ICT Asset  Management ICT Project  Management ICT Contract  Management Change and Service  Management Back-up and DR (Included in Cyber) Licensing  Assistant Chief Execs Human Resources   Environment, Culture and Customer Services Business    Continuity/Emergency Response Libraries  

Fortnightly waste collection (One off in 2017/18) Parking  Spaceway  Vehicle Fleet  Management Highways  Climate Emergency   Plan Voluntary Sector    Grants Health & Safety  - Housing     

67 - Corporate      Estate - Governance      - Schools      Facilities       Management (Corporate Estate) Commissioning Commissioning  Arrangements Children and Adults  Care Homes   Children and Adults –  budget management Electronic Call   Monitoring System (Commissioning) SEN Transport     0-25 (SEN)   Children’s Homes  Section 17  Deputyships  Resource Allocation  Calculation

Safeguarding OFSTED Considerations Prep for External   Assessments Bristol Court  Professional  Development Centre

Direct payments    S75 agreement with   Hounslow and Richmond Community Healthcare (HRCH)

68 Quality Assurance    Arrangement Monitoring and     Review of future service requirements Deprivation of Liberty     Housing, Planning and Communities Homelessness   Reduction Act Temporary Accommodation Leaseholder Services  (S20) Leaseholder Services  (service charges) Right to buy   Enforcement Services   Planning Income   Section    106/Community Infrastructure Levy (CIL) Housing Allocations  Western International  Market Delivery of 5000 new  homes (One off)

69 Agenda Item 5

Report for: INFORMATION

Contains Confidential No or Exempt Information Title Quarter 3 - Audit & Investigation Performance Report Member Reporting N/A Contact Details Mike Pinder, Head of Audit & Investigations, ext. 2350 For Consideration By Audit and Governance Committee

Date to be Considered 22 March 2021 Implementation Date if N/A Not Called In Affected Wards All Keywords/Index Audit & Investigation Performance Report

1. Details of Recommendations 1.1 To note the report on the quarter three update.

Summary The attached report describes the work undertaken by the Audit and Investigation Shared Service team to the end of quarter three.

If the recommendations are adopted, how will residents benefit? Benefits to residents and reasons why they will Dates by which they can benefit, link to Values expect to notice a difference Internal Audit activity provides independent Ongoing assurance to the Chief Executive, Members and Senior Officers on the adequacy of the internal control environment in Hounslow Council. This aids Members and Officers in ensuring that we are continually learning from experience. All counter fraud activity assists the Council in its value of spending money wisely. Every pound lost through fraudulent behaviours is a resource or asset diverted away from services provided to those who are in genuine need.

70 2. Background

2.1 This report outlines the performance of the Audit & Investigations Shared Service from 1 April 2020 to the 31 December 2020.

2.2 Internal Audit and Investigations activity within the Council is delivered under a shared service arrangement with the London Borough of Ealing.

3. Reason for Decision and Options Considered

3.1 The Audit & Governance Committee is presented with details in the attached report.

4. Key Implications

4.1 Internal audit is an assurance function that provides an independent and objective opinion to the Council on the control environment comprising of risk management and control and governance, by evaluating its effectiveness in achieving corporate objectives. It objectively examines, evaluates and reports on the adequacy of the control environment as a contribution to the proper, economic, efficient and effective use of resources. While assurance will also be sought from third parties, the assurance gained from the programme of work set out in the 2020/21 Plan will form the main input for the development of the 2020/21 opinion to the Council.

5. Internal Audit Performance

5.1 This report provides a progress update on the work of internal audit for quarter three.

5.2 The 2020/21 Plan was approved by the Audit & Governance Committee in July 2020. The plan presented was indicative and can be subject to revision during the year to take account of changing priorities and emerging risks, which is aligned with good internal audit practice.

5.3 The following table shows progress against the 2020/21 audit plan, illustrating the status (draft/final/in progress etc) of each review:

71 Topic Description/Indicative Assurance Final Scope Status Report to Audit & Governance Committee Chief Executive’s A review of the programme Draft management process for Report Chief management of the #1 issued 1 Executive’s: Hounslow projects. This #1 Hounslow includes implementation of the digital strategy. Customer Relations and Engagement A review of the Council’s Work in Health and overarching governance progress 2 Safety arrangements to gather assurance across services. Leisure Centres Deferred to (Light) 21/22 due to transfer to A review of the contract Lampton and 3 management arrangements closure of for Fusion. centres during lockdown. 4 Parking A review of parking strategy Finalised Q2 and the contract monitoring (Reasonable) arrangements following the appointment of a new contractor. 5 Resilience A review of the Terms of Arrangements organisations uptake and Reference position against the Resilience Standards for London (RSL) including the self-assessment and peer- review process to validate and support the programme. Needs to consider wider organisational ownership of the standards, not just the work of the Contingency Planning Unit team.

72 Topic Description/Indicative Assurance Final Scope Status Report to Audit & Governance Committee 6 Libraries Room Finalised Q1 Health check on the room Booking (Advisory) booking service provided by (Additional Hounslow Libraries. Project) Children’s, Health and Adult Services 7 Deputyships A review around the system Finalised Q3 and controls around (Substantial) deputyships managed by the Council for clients. This should include charging mechanism. 8 Resource A review of the resource Finalised Q3 Allocation allocation process on the (Reasonable) Process Liquid Logic Adults System (LAS), including top ups. 9 Direct A follow-up of the direct Finalised Payments payments audit from (Follow up) 2019/20. 10 Domiciliary A review of the contract Draft Report Care monitoring arrangements issued following appointment of a new contractor. 11 Project A review of Children’s Work in Management services, quality Assurance progress Process 12 SEND Linked to the overspending Work in projects progress Finance and Resources 13 Non-accounts A review of systems which Finalised Q2 payable make payments outside of (Reasonable payments the core financial system Assurance)

73 Topic Description/Indicative Assurance Final Scope Status Report to Audit & Governance Committee 14 Pensions A follow-up of Finalised Admin recommendations from the (Follow up) 2019/20 review. 15 Key financial Finalised Q3 Accounts receivable systems. (Reasonable

Assurance) 16 Key financial Finalised Q2 systems. Council Tax (Reasonable Assurance) 17 Key financial Finalised Q3 systems. General Ledger and Cash (Reasonable Assurance) 18 Procurement To review controls and Finalised Q1 Cards oversight of procurement (Reasonable cards, including transaction Assurance) spend review. 19 Utilities A review of processes for Draft Report managing utility payments. issued This will include property records to confirm validity of payments. Housing, Planning and Communities 20 Delivery of A programme management Finalised Q2 5000 Affordable assessment of the delivery (Limited Homes programme. Assurance) 21 Housing A review of the controls and Terms of Applications procedures for assessment Reference of applications for council housing. 22 Section 106 Finalised Q3 A review of the including (Reasonable arrangements in place for Community Assurance) the collection, allocation and Infrastructure oversight of s106, CIL and Levy (CIL) and carbon offset monies. Carbon Offset

74 Topic Description/Indicative Assurance Final Scope Status Report to Audit & Governance Committee Information Communication Technology (ICT) 23 Governance of A review of the processes to Finalised Q2 technology assess and prioritise (Reasonable projects technology projects. Assurance) 24 Digital Strategy A review of the digital Draft Report strategy programme, issued including application within Customer Services. 25 Contract A review of the contract Finalised Q3 Management management procedures in (Reasonable operation within the (ICT) Assurance) division Lampton 360 26 Governance A review of the Lampton Draft Report Arrangements 360’s internal governance issued arrangements. To include a compliance testing on key processes. Coalo 27 Governance A review of Coalo’s internal Draft Report Arrangements governance arrangements. issued

28 Human Finalised Q2 Resources A review of Coalo’s HR (Substantial) (HR) Policies policies and procedures and and Procedures application. (Light) Covid-19 Response 29 Personal Finalised Q1 Protective To review the store (Advisory) Equipment arrangements for PPE. (PPE) store 30 Covid-19 A transactional monitoring Finalised Q1 Expenditure audit, looking at credit cards, (Advisory) accounts payable transactions, pre-paid cards and expenses during the response period.

75 Topic Description/Indicative Assurance Final Scope Status Report to Audit & Governance Committee 31 Business Rate Advice on controls around Finalised Q1 Grants the application process for (Advisory) business rate grants. This also included some fraud prevention checks.

5.4 Six reports were finalised in quarter 3, five of which received reasonable assurance and one received substantial assurance.

5.5 Key performance indicators (KPIs) have been established to measure the delivery of the audit service across the shared service. These are how we measure our performance to ensure that all audits on the plan for each Council are delivered by the end of the financial year. The shared service KPIs for delivery against the audit plan for each quarter are (based on draft reports issued):

Quarter 1 – 16% of 20/21 audits delivered (draft report issued) Quarter 2 – 35% of 20/21 audits delivered (draft report issued) Quarter 3 – 70% of 20/21 audits delivered (draft report issued) Quarter 4 – 100% of 20/21 audits delivered (draft report issued)

Performance against these targets is set out in the table below:

KPI Actual Variance Q1 16% 17% 1% Q2 35% 50% 15% Q3 70% 83% 13% Q4 100% TBC% TBC%

76 5.6 The table below provides a summary of progress in terms of the number of reports at draft or final stage and those in progress as reported in the table above:

Audit Status Number of reviews Percentage Completion Finalised 19 63% Draft report issued 6 20% Sub Total 25 83% Work in progress 3 10% Terms of reference 2 7% Not started 0 0% Total 30 100% Original total 29 Additions 2 Deferred or cancelled (1) Total 30

5.7 With a total of 25 (83%) reports issued in draft or final the service is on target for this financial year to date. Follow-ups 5.8 The table below shows the progress made on the follow-ups of high recommendations. The results are summarised as:

Follow-up of high recommendations Number % Number of high-risk findings 32 Number of high-risk findings completed 27 84% Number of high-risk findings in progress. 5 16% Not implemented 0 0% Not yet due 0 0%

77 5.9 The table below shows the details of risk areas which have not yet been fully implemented.

Service Area Report Risk Area Agreed Status Implementation Date

1 Housing and Building Non- Oct 2018 Regeneration Control Compliance with revised to April Legislation 2019 revised to (Previously part of In progress, Chief Exec - Oct 2019. New revised date of awaiting revised Housing Planning implementation and Communities) 31 December 2020. New date to confirm current status. (17/18) implementation date of 31st March.

Environment, In progress, 2 Culture and Health and Non-Housing - September 2019 awaiting revised Customer Safety Follow Risk Revised January implementation Services- Health up Assessments 2021. Agreed to date to confirm and Safety extend date to current status. st (18/19) 31 March 2021. Environment, In progress, th 3 Culture and Facilities Health and 30 September awaiting revised Customer Management Safety 2020 and then implementation Services– Compliance extended to date to confirm st Facilities Audits March 31 , 2021 current status. Management

(19/20)

Environment, In progress, th 4 Culture and Facilities Service contract 30 September awaiting revised Customer Management and repairs 2020 and then implementation Services– contractual extended to date to confirm st Facilities coverage March 31 2021 current status. Management

(19/20)

78 Service Area Report Risk Area Agreed Status Implementation Date Housing, Planning Partially th 5 and Communities Corporate Health and 30 October Implemented – Corporate Property and Safety Non- 2020. 1 action Property and Asset investment confirmed Building Services Management portfolio completed. 1 due to be (19/20) implemented by April. Final measure is due by September. Revised implementation date of September 2021

79 6. Proactive Anti-Fraud and Reactive Investigation work

6.1 This report details the performance of the Audit & Investigations Shared Service in respect of the delivery of investigation services on behalf of the London Borough of Hounslow. The purpose of the report is to provide Audit & Governance Committee members and management with an update on the work undertaken by the Shared Service to quarter 2 (1 April 2020 to 31 December 2020) and highlight key issues for the attention of Members.

6.2 The work of the teams is split into two categories:  Proactive work, which includes initiatives to prevent and identify fraud and includes using technology and data analytics to identify fraud risks;  Reactive work, which is the investigation of cases of fraud reported.

Reactive 6.3 The number of referrals received through Hounslow’s website, fraud email, fraud hotline and by letter for the fraud team has been 134 for the year to date.

6.4 There are two teams within the Council that are responsible for investigation of fraud.  Audit and Investigation look at any corporate fraud investigations, council tax offences and will undertake prosecutions for housing cases.  Housing will look into any tenancy related fraud and undertake civil action to recover properties.

6.5 The accumulative sanctions at quarter 3 are recorded below:

Anti-Fraud Team Number of Sanctions Number of sanctions (Q3 2019/20) (Q3 2020/21) Audit and Investigation 13 5 Housing 18 64

6.6 The financial value of these sanctions is shown in the table below:

Case Type Sanctions Value Council Tax Discount 3 £4626.64 Right to buy rejected 52 £5,839,600 Tenancy recovered 7 £126,000 Succession applications 5 £90,000 refused

6.7 The Housing team have identified notional losses of £6.055m.  52 Right-to-Buy applications refused (£5.839m);  7 council properties recovered (£126,000);  5 succession applications refused (£90,000).

6.8 Audit and Investigation completed three cases in relation to Council Tax discounts for which a total of £4,626 has been invoiced by the service. In addition, during investigation losses have been identified in relation to:  Council Tax reductions - £21,079  Direct Payments - £7,144 These represent additional billings or savings for the services.

6.9 Proceeds of Crime – So far this year, the Council has received £153k from our work to recover proceeds gained by criminal activity. In addition, in December, our Financial Investigator supporting the enforcement team, secured a confiscation order in the sum of £163,583. When paid, the Council will receive approximately £61,000 of this with the remainder benefitting the wider public purse.

Schedule of notional losses and values used

Right to Buy: The Right to Buy scheme helps eligible council and housing association tenants in England to buy their home with a discount, which in London is up to £112,300. A Right to Buy sale that proceeds based on the provision of incorrect information results in a loss to the authority of a valuable asset at a fraction of its true value.

Tenancy Fraud: In their Protecting the Public Purse 2012 publication the Audit Commission identified an average annual notional cost of £18,000 to house a family or individual in temporary accommodation. This average notional cost has been used to estimate the nominal cost to the public purse of housing a tenancy fraudster.

7. Financial Details

a) Financial Impact on the Budget

In terms of the impact on the Internal Audit and Investigation service budget, there are no impacts on the basis that all services are delivered within existing budgets.

b) Comments of the Executive Director of Finance and Resources

The Executive Director of Finance and Resources liaises closely with the Head of Internal Audit and Investigation on the progress of specific cases.

81 8. Legal (to be completed in conjunction with the Legal Department)

a) Legal Details

Local authorities are required to demonstrate proper stewardship of public funds in line with the 1972 Local Government Act. The London Borough of Hounslow utilises a fraud and investigation team to assist in its safeguarding of public funds and the recovery of funds that have been misappropriated.

c) Comments of the Head of Governance

The Executive Director of Finance and Resources, as the Council’s Chief Finance Officer, continues to have a personal statutory responsibility concerning the proper administration of the council’s financial affairs notwithstanding any appointment to perform the internal audit and investigation function.

9. Value for Money Internal Audit seeks to provide value for money both in terms of the delivery of the service and through reviews of individual auditable areas. The investigation team provides good value for money to the Council and residents: the presence of the team helps prevent fraud by acting as a visible deterrent.

10. Sustainability Impact Appraisal Not applicable.

11. Risk Management Internal Audit activity is directly influenced by the Council’s risk management processes.

12. Links to Council Priorities Efficient use of Council resources.

13. Equalities, Human Rights and Community Cohesion No direct implications arising.

14. Staffing/Workforce and Accommodation implications None

82 15. Property and Assets None.

16. Any Other Implications None.

17. Consultation None.

18. Timetable for Implementation Not applicable.

Appendices

Background Information Internal Audit Plan 2020/21

83 Agenda Item 7

Report for: INFORMATION

Contains Confidential No or Exempt Information

Title External Audit Plan 2020/21 Member Reporting Councillor Rajawat Lead Member for Finance & Corporate Services [email protected] Contact Details Clive Palfreyman [email protected] For Consideration By Audit & Governance Committee Date to be Considered 22 March 2021 Implementation Date if N/A Not Called In Affected Wards All Keywords/Index Audit, Statement of Accounts, Audit Plan

1. Recommendations

The Audit & Governance Committee are asked to note the following:

a) The revised English Accounts and Audit Regulations for the 2020/21 accounts, approved on the 9 March, to take effect from the 31 March

b) The revised publishing deadlines of 1 August 2021 for draft accounts and 30 September 2021 for published final audited accounts.

c) The proposed plan and timetable from the external auditors as outlined in their progress report in Appendix 1.

If the recommendations are adopted, how will residents benefit? Benefits to residents and reasons why they will benefit, Dates by which they can link to Values expect to notice a difference An ambitious council delivering quality services and ongoing value for money

2. Report Summary The normal statutory deadline for the publication of draft and final audited accounts for local authorities is the 31 May and 31 July of any given year, respectively.

For 2019/20, the government recognised the immediate pressure of the pandemic and lockdown restrictions on the local authority sector and approved an extension to the 2019/20 draft and final audited accounts deadlines.

For 2020/21, MHCLG consulted on proposals for the 2020/21 deadlines and Government approved on the 9 March that the deadlines will be extended for 2020/21 also.

84 The revised publishing deadlines for local authority accounts has been extended to the 1 August 2021 for draft accounts and 30 September 2021 for published final audited accounts.

As in previous years, the first draft of the financial statements, which will be submitted to external audit for review, will be signed off by the Section 151 officer and published on the Council’s website. An update on this will be provided at the July A & GC meeting. The Audit and Governance Committee will be able to review and scrutinise this during the summer months.

The appointed auditors, Mazars, are unable at this time to present their 2020/21 audit plan (which would include details of their engagement, their audit approach, significant audit risks, areas of key judgements and where their work will be focused) and have therefore prepared a progress update report for members as attached in Appendix 1.

3. Reason for Decision and Options Considered The are no decisions outlined in this report.

4. Key Implications There are no other key implications for consideration.

5. Financial Details As already outlined in this paper. There are no further comments from the Executive Director of Finance and Resources.

6. Legal Details/Comments of Head of Governance Any legal implications with the Statement of Accounts have been presented at previous Audit & Governance Committee meetings and have been outlined in this report.

7. Value for Money The PSAA are appointed as the public sector audit appointers to ensure that through economies of scale the procurement delivers good value for money.

8. Sustainability Impact Appraisal A sustainability impact appraisal is not necessary.

9. Risk Management The council must ensure that costs are kept within the approved balanced budget and the appropriate levels of reserves are maintained. Key financial risks are reported in the Councils risk register.

10. Links to Council Priorities Financial management pledge.

85 11. Equalities, Human Rights and Community Cohesion No direct implications arising

12. Staffing/Workforce and Accommodation Implications There are no implications.

13. Property and Assets There are no implications.

14. Any Other Implications There are no other implications

15. Consultation None

16. Timetable for Implementation None

17. Appendices Appendix A: Report from Mazars

18. Background Information None

86 Audit Progress Report 87 1. Audit Progress 2. National Publications 88

11 March 2021 2 Section 01: Audit Progress 89 Audit Progress

Purpose of this report This report provides the Corporate Committee with an update on progress in delivering our responsibilities as your external auditors.

Audit progress

We90 have not completed our audit of the Council’s 2019/20 Whole of Government Accounts (WGA) submission and have not therefore completed the final element of our 2019/20 audit. The national WGA submission process has changed for 2019/20 and there have been significant difficulties with the HM Treasury system which have caused challenges nationwide. When our audit work is completed, we will issue our final report for the 2019/20 audit, our Annual Audit Letter. This will be presented to a future Audit and Governance Committee meeting. We have not yet commenced our audit planning for the 2020/21 audit, and will deliver our Audit Strategy Memorandum to Audit and Governance Committee Members outwith committee in advance of the July 2021 Audit and Governance Committee meeting. We have held and will continue to hold regular discussions with the finance team to keep up to date with emerging issues that may impact on our external audit. In 2019/20 the Council produced its draft financial statements in early July 2020, with the external audit due to be completed in March 2021. Delivering the external audit, will be as challenging as it was in 2019/20, with the additional detailed work continuing to be required, such as that on the valuations of land & buildings and pension liabilities which impacted on the 2019/20 audit completion, as well as the continued impact of the Covid-19 pandemic on the Council and ourselves.

11 March 2021 4 Audit Progress

Audit progress (continued) The national timescales for the 2020/21 audit require the Council to prepare their draft accounts by 1 August 2021 and for our audit work to be completed by September 2021, which is two months earlier than the extended deadlines agreed for 2019/20. Mazars have considered the national consultation around audit timescales and believe that achieving this timetable, in light of the length of time the

2019/2091 audits have taken and the complexity of the Council’s financial statements, is unrealistic and would therefore propose that we complete the audit by 30 November 2021. It is worth noting that, at the end of January 2021, the external audit of 180 local authority financial statements for 2019/20 remained outstanding. We will continue to discuss the timetable with the Council, to understand the Council’s plan to complete draft statements by 1 August 2021, and for the external audit to be completed by 30 November 2021. We set out below an indication of the timetable for the audit: - April 2021 – Initial planning and updating of documentation by Mazars - April to June 2021 – Council complete preparation of draft statements - June to October 2021 – Mazars complete testing of accounts and transactions - November 2021 – Preparation of audit report and presentation to Audit and Governance Committee. Audit sign off

11 March 2021 5 Audit Progress

Audit progress (continued) As part of the above outline timetable, and to ensure the process runs as smoothly as possible, we would ensure we continued to work closely with the Council throughout the entire closedown process, to ensure working papers are in line with out requirements, as well as to start key areas of work on land & building valuations and the bank reconciliation as early as possible.

From92 our knowledge of the Local Audit & Accountability Act 2014 and the Accounts & Audit Regulations we are not aware of any sanctions that apply to the Council or ourselves for not completing the external audit of the financial statements by 30 September 2021, although the Council will need to publicise on its website at that date that the external audit hasn’t yet been completed in order to comply with the statutory requirements. We will continue our routine discussions with the Council as they progress with their closedown arrangements, and we will continue to report our progress to the Audit and Governance Committee.

11 March 2021 6 Section 02: National Publications 93 National Publications

Publication/update Key points Page

National Audit Office

1 Good practice in annual reporting Interactive NAO guidance 10

2 Good practice guidance: Fraud and Error NAO guidance 10 94

11 March 2021 8 National Publications National Audit Office

1. Good practice in annual reporting, February 2021 The NAO has published an interactive guide that sets out principles of good practice for annual reporting and provides illustrative examples taken from public sector organisations who are leading the way in this area. The guide draws on examples of good practice from within each of the six sections of an Annual Report: • Strategy (which includes Great Ormond Street Hospital for Children NHS Foundation Trust Annual Report and Accounts 2019-20 for its visually engaging example of an organisation’s five-year plan). • Risk • Operations

• Governance95 • Measures of success • Financial performance It also provides further examples where bodies have made their context more understandable to the reader through use of graphics and clear language and signposting. https://www.nao.org.uk/report/good-practice-in-annual-reports-february-2021/

2. Good practice guidance: Fraud and Error, March 2021 The National Audit Office’s (NAO) work over the past year has shown that the risk of fraud and error has risen significantly during the pandemic. In some cases this is because some counter-fraud controls were no longer safe to operate; for example, the Department for Work & Pensions’ requirement for face to face meetings with benefit applicants. In other cases, the speed with which some payments have been made has left government exposed to higher levels of fraud and error than would normally be the case. The NAO’s work highlights what can be done to measure how much fraud and error there is in the system, put effective counter-fraud and error controls in place and detect and pursue overpayments to protect the taxpayer’s interest. https://www.nao.org.uk/report/good-practice-guidance-fraud-and-error/

11 March 2021 9 Contact Follow us:

Mazars LinkedIn: www.linkedin.com/company/Mazars Director: Lucy Nutley Twitter: Phone:96 0207 063 4634 www.twitter.com/MazarsGroup Facebook: Mobile: 0738 724 2052 www.facebook.com/MazarsGroup Email: [email protected] Instagram: www.instagram.com/MazarsGroup Mazars is an internationally integrated partnership, specialising in audit, accountancy, advisory, tax and legal services*. Operating in over 90 countries and territories around the world, we draw on the WeChat: expertise of 40,400 professionals – 24,400 in Mazars’ integrated partnership and 16,000 via the Mazars North America Alliance – to assist clients of all sizes at every stage in their development. ID: Mazars

*where permitted under applicable country laws. www.mazars.com Agenda Item 8

Report for: NOTING

Contains Confidential No or Exempt Information Title Quarterly Monitoring of Corporate Risk Register Member Reporting Councillor Rajawat: Lead Member for Finance and Corporate Services Report of/ Contact Mike Pinder, Head of Audit and Investigation/Lorelei Details Watson, Head of Strategic Finance: Treasury, Pensions and Audit Telephone: 020 8583 2310 Email: [email protected] For Consideration By Audit and Governance Committee

Date to be Considered 22 March 2021 Implementation Date if Not applicable Not Called In Affected Wards All Keywords/Index Risk

1. Details of Recommendations

1. To note the amended Corporate Risk Register (CRR) Appendix 1.

2. Report Summary

This report is the quarterly monitoring of the Corporate Risk Register (CRR) as at the end of February 2021. Relevant risks now reflect the impact of Covid-19.

An additional risk relating specifically to Covid-19 has been added and scored at 15 which relates to the Council’s need to support the community through support offering during the response period and to consider and support in recovery.

A number of mitigating actions for various risks have been identified. One risk has had its score decreased:-

1. Risk 13, Existing the EU, reduced from 20 to 6, through likelihood reducing from high (5) to (2). Impact reduced from 4 to 3. The risk reduced from red to amber. 2. The average risk score has fallen from 11.1 to 10.7. Largely resulting from the reduction in risk 13.

3. Background

3.1 Risk management is the process by which individuals and organisations assess the potential risks and uncertainties they face and consider what should be done, if anything, to manage those risks. Hence risk management is being risk aware, not risk averse. Internal Audit recommends that Members approve the Risk Management Strategy annually. Audit and Governance Committee annually approve the Strategy at its September meeting. The Strategy determines that the Corporate Risk Register (CRR) is owned and monitored by CLT (Corporate Leadership Team), and quarterly monitoring reports are submitted to the Audit and Governance Committee. The CRR has strategic and corporate risks on it. Strategic risks are those impacting on the performance of the Council, and in particular on its ability to deliver the Council's priorities. Corporate risks relate to corporate systems underpinning the authority’s overall governance and ability to deliver services. Operational risks are those risks relating to the delivery of individual services. They are not usually on the CRR as they are on departmental risk registers, which are managed and monitored at departmental level. However, any risks from the operational risk registers can be escalated to the CRR if identified as being sufficiently important.

4. Key Implications - Quarterly Monitoring of Corporate Risk Register (CRR)

4.1 Executive Directors were requested to review the risk register and to review:

a) the current risks and their scores. Do any scores need to be increased or can any be reduced? b) whether any risks should be amended, either because the nature of the risk has changed, or the level of risk has changed. Have any new mitigating actions been identified? c) whether there are any new risks that should be included. d) whether there are any risks that should be removed.

4.2 A number of mitigating actions for various risks have been identified. One risk has had its score decreased:-

4.3 . Link to Pledges

The table below demonstrates which Pledges are met by which risks.

Pledge Risk Financial Management Risk 5 Medium Term Financial Strategy Housing Risk 1 Housing supply and demand Recycling Risk 9 Recycling Strategy Potholes Risk 9 Recycling Strategy Apprenticeships Risk 2 Regeneration Risk 6 Staffing, including supply chain

98 4.4 The matrix below shows the spread of the risks, with a summary of the risk scores. Risks are scored according to the likelihood of their happening, from 1 being almost impossible, to 6 being very high. They are also scored according to their impact, from 1 being negligible, to 4 being catastrophic. The combined scores are plotted on the matrix below to give a total score. Where risks are red or amber further mitigating actions must be identified to manage the residual risk. The detailed guidance to risk scores, with relevant criteria, is in Appendix 2.

Corporate risk matrix

6 Likelihood: 1,16 5 6 Very high 5 5 High 4 Significant 10 2, 7, 15 3 Low 4 2 Very low 3, 6, 8, 11 1 Almost impossible 3 14

9, 12, 13 4 Impact: 2 4 Catastrophic 3 Critical

2 Marginal 1 Likelihood 1 Negligible 1 2 3 4

The number of red risks remain at three, although one has dropped and one new risk added:-

 Risk 1, the Housing Supply and Demand risk  Risk 5, Medium Term Financial Strategy (MTFS)  Risk 13, Exiting the EU dropped to amber  Risk 16, Covid response and recovery (new)

4.5 The average risk score has fallen from 11.1, in the previous quarter, to 10.6, reflecting the impact of the reduction in Risk 13. Risk 13, Exit from the EU, has reduced from 20 to 6 through the likelihood reducing from high (5) to Very Low (2). Impact reduced from Catastrophic (4) to Critical (3). The risk remains amber.

5. Financial Details

5.1 Financial Impact

Risk 5, relates to the Medium Term Financial Strategy, and the risk of failing to manage within agreed budgets. It is scored red, at 20. The score reflects the likelihood of occurrence as being high (5), with the impact being catastrophic (4). Some mitigating actions have been identified with this risk.

There are no direct financial implications arising from this report. Any future cost implications from risk management actions will be subject to further separate reports.

5.2 Comments of the Executive Director of Finance and Resources

Incorporated in the report.

6. Legal Details/Comments of the Head of Governance

6.1 Risk registers are a key management tool to help mitigate risks and to implement key strategic projects of the Council. Fully embedded risk management practices should ensure that key risks of the Council are prioritised, and relevant action plans are put in place to mitigate these risks to tolerable levels. They form part of the governance practices that underpin the Council and its activities.

There are no legal issues arising directly out of this report.

7. Value for Money

7.1 There are no direct value for money implications.

8. Sustainability Impact Appraisal

8.1 There are no direct sustainability issues and as such no appraisal is necessary.

9. Risk Management

9.1 Included in the Report.

10. Links to Council Priorities

10.1 This report directly addresses all the Council’s priorities by monitoring key risks.

11. Equalities, Human Rights and Community Cohesion

100 11.1 The Council is not being asked to make any decisions on actions related to risks, and so there are no implications in relation to equalities, human rights and community cohesion.

12. Staffing/Workforce and Accommodation implications

12.1 There are no direct implications in relation to staffing or accommodation.

13. Property and Assets

13.1 The Council is not being asked to make any decisions on property and assets, and so there are no implications for property or assets.

14. Any Other Implications

14.1 There are no further implications.

15. Consultation

15.1 N/A

16. Timetable

Risk monitoring is reported quarterly.

17. Appendices

Appendix 1 Corporate Risk Register. Appendix 2 Risk Rating Guidance.

19. Background Information

None

101 Risk 1 Housing supply and demand Sept 16 Cllr S Curran & L Bath Peter Matthew Executive Director of Housing, Planning and Communities Score 15

Description Failure to deliver the council's pledge to secure supply of 5,000 affordable homes, our commitment to building 1,000 homes for social rent; and failure to manage increased and volatile demand for temporary accommodation (TA) for homeless households.

Consequences Reputational: the 5,000 pledge is a headline objective for the council, failure to deliver it risks the organisation appearing ineffective and losing influence with key partners including the GLA. Emergency accommodation for rough sleepers and people affected by COVID-19, along with the use of TA generally, is high profile; the council risks appearing indifferent to the needs of residents if they have no accommodation, they have to share facilities, are in TA for long periods of time or have to move out of area. Financial: Inability to deliver on council housing pledge programme reduces the ability to provide sufficient supply to meet homelessness housing needs and in turn place financial pressure on general fund budgets – it also means that: Lack of sufficient supply also reduces the council’s ability to reduce households move on from temporary accommodation and meet increasing demand. This also results in needing to rely/use additional emergency/TA accommodation placing added pressure on general fund budget. Council’s inability to meet capital funding and grant fund spend targets such as, GLA and time limited RTB funds. Delays due to contractors needing to meet Covid19 safety measures adding additional costs to the delivery of development schemes. 102 Legal: It is a legal requirement to ensure TA is suitable and families with children do not spend over 6 weeks in B&B; households believing they have been offered unsuitable accommodation, particularly in the context of COVID-19 if they are sharing facilities, may take legal action against the council.

Current controls The Housing Delivery Plan details the sites for delivery of the 5,000 pledge, and the HRA Business Plan for the schemes and funding in place of the 1,000 commitment. Monitoring of delivery is overseen by the Housing Delivery Board, the Capital Strategy Board and the Economic Recovery Taskforce Board. The recent review of the Pledge indicates that delivering the 5000 Pledge will be challenging as the general economy falls into recession post Covid. This will affect private developer confidence in bringing new schemes forward for development and reduce the affordable offer within these developments. The 1000 commitment however is on course to be achieved.

The Homelessness Action Plan 2019/24 details the mitigations in place for controlling TA expenditure and the contingencies for dealing with known risks such as the effects of the Homelessness Reduction Act. Since Covid-19, we now have unknown, more volatile and increased risks with restrictions in place by government prevent evictions. This also includes residents who find themselves with financial hardships due to job losses and people being furloughed which has increased rent arrears. This could result in a huge spike in demand as restrictions are lifted. Brexit has contributed to increase the risk of more rough sleepers and people finding themselves ineligible for housing assistance due to their lack of settled status. The loss of jobs as a result of COVID has led to an inability of EU national exercising their treaty rights, which has been another factor in ineligibility for housing. It is anticipated that there will be an increased pent up demand for 1,550 households over the next 12-18 months including Care-Leavers, Domestic Violence, Rough Sleepers and Family evictions.

Effectiveness of Currently, 2,024 new homes have been secured towards the Pledge. current controls There are a number of large sites coming forward in 2021 which will increase this total including our own Estate Regeneration schemes and further if a positive ballot is secured. However, with the on-going Covid lockdown and impending recession affecting developer and buyer action confidence, it is predicted that meeting the Pledge target is increasingly unlikely. Housing Associations are also increasingly reviewing their business plans in the light of the impact of Grenfell, Covid and reduced sales of market and shared ownership homes already constructed but not sold, for the capacity available for building new homes. This is indicating a more selective approach to pursuing new schemes. A review of the council housing programme and reprioritisation of work has indicated that the commitment of 1,000 homes can be exceeded with 1300 homes be delivered by March 2022.

B&B/TA usage had increased due to new burdens arising from the Homelessness Reduction Act but remained generally stable prior to COVID-19. New demands have resulted in a public health response to the pandemic, with unknown numbers and an unknown end date; contingency measures against these factors have now stabilised TA usage, which reduced slightly to 857 units in January 2021, from 866 in September 2020. However new and different supply is continuing to be sourced taking into account the need for self- contained units to mitigate the increased current need. In February, SWEP was activated for a period of 10 days which also resulted in a higher number of homeless approaches to the service. The extension of the eviction ban until March 2021 has kept bailiff evictions minimal however it is anticipated that once the ban has been lifted we will see an increase of homelessness approaches to the service.

Score Likelihood High 5 Impact Critical 3 103 Total score 15 Further action  A review of the changing demand during and post COVID-19 has established the type of new supply required across the Council services to accommodate the estimated additional need for over 1,550 households over the next 12-18 months.  To help achieve this there has been a review of the Council Build programme and Business Plan which has established capacity for bulk purchases of completed or near completed homes in the private market as part of the overall Council’s economic recovery plan. Terms have been agreed for the purchase of 269 new homes to meet these new demands over the next 12 months  An Estate Regeneration programme has also been established to secure 625 new homes towards the delivery of the Pledge 5000. This is currently progressing and a resident ballot is currently underway on one of the identified estates.  The commissioning of Lampton Investment will also provide additional accommodation to assist the prevention duties of the service and help mitigate the risk of homelessness and reliance on B&Bs.  We have shifted from using accommodation with shared facilities to self-contained units, and scoping support needs to prevent revolving homelessness;  To help with the economic recovery post Covid-19, we have revised our tendering requirements to increase contractors’ use of local labour and enterprise to minimise the impact of the recession on the local economy.  Due to the vaccination programme the risk of another wave is reduced. However, there is a continued risk of new variants mitigating the benefit of the current vaccines. This will not only reduce construction productivity but also reduce the number of new schemes coming forward from the market, at the same time as increasing further the level of demand coming to the Council for assistance.

Risk 2 Risk of failing to deliver regeneration ambitions Sept 2011 Cllr Curran Peter Matthew Executive Director of Housing, Planning and Communities Score 12 Description Failure to realise the benefits of long term regeneration in the delivery of recovery activity including; greater business opportunities, increased number of jobs, improvements to residents’ employment prospects, improvements to the environment and public realm, and in so fail to realise the council's long term regeneration ambitions for the borough, including increased business rates, increased numbers of homes, additional high-quality jobs and wider environmental improvements. Consequences Reputational: Economic recovery will be key to the buoyancy of the borough as a whole and needs to succeed. Development of housing is being driven through delivery of the 5,000 pledge and will continue to be the case; if there are not commensurate improvements to the borough's strategic assets and amenities, quality of life for residents may reduce and the council risks appearing ineffective and indifferent to the consequences of its actions. Financial: delivering development, and stabilising economic recovery will deliver increased revenue through council tax receipts; trade realised through effective curation of the borough's commercial and industrial spaces will deliver business rates; CIL charges are levied on new development and provide significant one-off funds for the borough. Pushing the regeneration ambitions will enhance the opportunity for income. Health and wellbeing: a healthy local economy with well paid work, quality amenities and an attractive borough contributes to the mental and physical health of residents. Failure to realise our ambitions will result in greater unemployment and under-employment of residents with consequences for their health. Current controls - The Delivery of the Economic Pillar of the Recovery Plan through the Economic Recovery and Regeneration Plan which sets out 104 in place activity to address the harm caused across the economic landscape of covid and also long term aspirations for sustainable growth. - As the economy continues to react we are ensuring a data /evidence led approach is taken - Works continues with the aim of establishing a strategic framework for the economic stabilisation and future growth of the borough – a strategy for realising the prosperity of Hounslow, reimagining and bringing together the social, environmental, physical and economic into a cohesive vision. - The Local Plan has been updated to optimise development opportunities in the Great West Corridor and West of Borough target areas, the two reviews are with the Secretary of State. - The council has resourced an Economic Development & Regeneration team to deliver economic recovery activity and focus on driving a new, long term, sustainable regeneration agenda to set a prosperous future for the borough.

The Development Management team is resourced to accelerate site discussions and deliver planning permissions. The use of Community Infrastructure Levy is being reviewed to ensure that it maximises the support for development in the borough. Effectiveness of Objectives for the recovery programme are in the process of being established; the greatest perceived risk is that the dedicated current controls resources are insufficient to effectively deliver the scale and extent of the council's regeneration ambitions.

Score Likelihood Significant 4 Impact Critical 3 Total score 12 Further action to manage residual risk

Risk 3 Heathrow – Third Runway Sept 2016 Cllr Curran Niall Bolger, CEX Score 9 Description Risk that the Council and its residents will not secure and receive suitable mitigation and compensation from the airport operator and central government if the Development Consent Order (DCO) (planning application) for a third runway and the accompanying infrastructure is approved. Update 04/06/2020 - the current Development Consent Order process is on hold pending the Supreme Court appeal hearing against the ruling that the DfT’s Airports National Policy Statement is unlawful. Further update to be provided Spring 2021.

Consequences Expansion of Heathrow Airport in terms runway capacity might potentially result in the following consequences:

 Relaxation of existing controls which could lead to an increase in the number of night flights and reduction in the compliance with the night flights regime leading to a deterioration of the boroughs noise environment.  An increase in additional runway capacity by the introduction of mixed modes operations resulting in further deterioration for local 105 communities.  Reduced quality of life through increased noise levels both day and night resulting in detrimental impact on educational attainment;  Increased noise and air pollution levels (resulting from increase in road congestion on the local road network) impacting on the health and wellbeing of residents.  Need for more infrastructure (i.e. housing, schools, amenities) that the borough may not be able to deliver as the surrounding area around the airport has not been taken into consideration within the Airports National Policy Statement.  Relocation of the Immigration Removal Centre and other lower value development proposals on the Heathrow Gateway site (Mayfield Farm), hindering the creation of a mixed use, high density, transit oriented urban district.  The economic and employment opportunities resulting from an expanded airport for not being made available to borough residents and local businesses.

Current The current controls apply to any proposal by the airport operator, Heathrow Airports Ltd (HAL), to grow Heathrow by adding a third controls in runway or relaxing controls on runway operations (e.g. night flights). These are outlined in the Aviation Policy (2006) supplemented by place periodic political and technical reviews. The council’s current approach is set out in a September 2019 declaration. The council recognises the significant local and national benefits the airport brings in terms of the economy and employment and therefore is working to build a better working relationship with the airport operator to maximise the benefits the airport should be bringing to the borough.

The Council is a member of the Heathrow Strategic Planning Group (HSPG). Members of HSPG are working together to deliver on the collectively agreed principles (related to place-making, the environment, infrastructure and socio-economic) to develop a shared vision which will result in the development and implementation of a spatial planning framework for the sub regional area. As encouraged and directed by the DfT, HAL have used the DCO’s pre-application process to engage with HSPG. Through them, the Council continues to press for the DCO submission to incorporate the ten “asks” described in the Council’s 2019 Declaration.

Effectiveness The Council is heavily reliant on the Airport Operator engaging with the council in a positive manner and ensuring that our requirements of current are incorporated within the DCO application. This may be submitted in 2021. controls Score Likelihood Low 3 Impact Critical 3 Total score 9 Further action Due to Covid’s effect on the travel industry, HAL are reviewing the timescale of their ambition to expand Heathrow Airport. In the to manage meantime, the Council’s objective is to secure a better mitigation package for not only the existing two runways at Heathrow but also for residual risk an expanded airport. This is based around noise mitigation for residential, schools and community buildings; surface access improvements, air quality, night flights, the economy, improved operational practices etc.

In April 2019 consultation ended on Central Government’s Aviation Strategy: Green Paper. Our policy position and requirements were represented/incorporated in partnership with LGA Strategic Aviation Special Interest Group (SASIG) and Local Authorities Aircraft Noise Council (LAANC) to secure mitigation for the borough and the wider region and by sharing best practice and knowledge.

Outside of the HSPG, the Council should continue to:

106  add to the evidence base on the health effects of night flights, aircraft noise and air pollution  monitor the noise and air pollutant levels and continue analysis of rationale to maintain runway alternation and seek a ban on night flights  monitor the aviation debate and submission of evidence to select committees and responding to government consultations to influence policy as well as engaging with the airport operator to ensure that mitigation is secured for residents, businesses and schools.  instigate a programme of supported political activity to ensure that the boroughs economic future is protected via the preservation of the airport and/or mitigation.  lobby and seek support and funding for Hounslow’s Southern Rail Access proposals  actively lobby all parties (HAL, government departments, Home Office etc.) to ensure the IRC is not relocated to Mayfield Farm.  Continuing with the ventilation / noise reduction programme for schools in Hounslow which is partially funded by HAL.

Risk 4 Safeguarding of Children in Need (CIN) of Protection Sept 2016 Cllr Bruce Steven Forbes, Executive Director Children’s and Adults’ Services Score 8 Description Risk that the Council does not manage safeguarding effectively Although the Council is confident about the effectiveness of its child protection arrangements, no one can guarantee there will never be an incident involving a child who is ‘at risk’ or a child who has not previously been identified in this category. The Council also relies on its partners to protect vulnerable children. We remain vigilant and alert to the effective identification and management of risk. There has been successful recruitment to key senior management posts. The social care workforce is stable at the moment. There is stability at team manager level which this includes long term interims who provide significant expertise and experience. However, the social work workforce is balanced to the relatively inexperienced / early years of their professional development and is the one of the youngest in London. This requires considerable support and management energy and investment.

Consequences  Serious injury, or death of a child; Impact on family, friends and the wider community.  Loss of confidence in child protection at Hounslow; Long lasting impact on staff morale.  Investigations into how the Council manages its Child Protection and Safeguarding services.  Key staff may choose to leave or be forced to leave. Impact on reputation of the Borough for many years.  Risk that caseloads continue to rise, the team is overstretched and cannot process the work effectively and efficiently. Risk that staff churn increase. All of which impact on the ability to allocate and process assessment of risk. Impacts on the ability of the service to deliver effective safeguarding.

107 Current  Ensure a competent and well-trained workforce with a forensic approach to recruitment and retention. controls in  Ensure all understand thresholds for harm and significant harm. place  Ensure members and CEX regularly briefed re pressures and risks.  The right business critical data upon which to base a decision is available.  Ensure agencies comply with the statutory requirements on safeguarding.  Hounslow LSCB (Local Safeguarding Children’s Board) monitors the work of all partners and seeks assurance form the partnership.  Internal and External audits found that there is good identification of and timely responses to children in need of protection.  We actively develop and manage our Practice Framework as the guiding framework for practitioners in the practice group.  We have invested in dedicated practice support to social workers and managers.  Agency staff recruited at higher cost to relieve pressures on permanent staff.  Practice Champion, ASYE (Assessed & Supported Year in Employment) coordinator and CIN Reviewer have provided wrap round support to increase resilience.  We have implemented an Improvement Team with a clear programme of audits and practice development.  Updated Improvement Plan submitted and agreed by Ofsted in February 2019 which focuses on priority areas including management oversight, statutory visits, case summaries, smart plans and recording.  Robust quality assurance mechanism.

Effectiveness  Renewed efforts to actively manage the number of agency staff across the council. of current  Valued and well attended training and development opportunities for key safeguarding staff delivered from a west London controls perspective. Caseloads are under constant review.  Solid and sustainable relationships with the relevant agencies  Ofsted inspected Children's Services in 2018 and gave an overall judgement of 'Good' with 'Requires Improvement' for children in need of help and protection. An action plan was submitted on time to Ofsted and was approved in February 2019.  Regular quality assurance report to DLT and to the Children’s Improvement Board.

Score Likelihood Very Low 2 Impact Catastrophic 4 Total score 8 Further action  We have a successful recruitment strategy including ‘grow your own’ strategy including Frontline, Step Up and ASYE (see below) to manage mechanisms for capturing NQSWs. An overarching Recruitment & Retention strategy has been prepared in partnership with HR residual risk  First phase of the Adolescent Team live and is operational and impact review is being undertaken.  An agreed set of practice standards (within the wider Practice Framework) for practitioners has been developed and launched  An Early Help Hub was agreed by Cabinet and went live in September. Provides coordination and coherent response to promote enhanced and early support  New Performance and Learning Boards implemented for operational teams with bespoke performance dashboards enabling increased analysis and accountability with a focus on practice improvement

108  Active involvement in sector led regional improvement.  Quality Assurance Framework was be revised Autumn 2019 in to early 2020.  External case reviews commissioned and reported on in early 2020.

Risk 5 Medium Term Financial Strategy (MTFS) Sept 2016 Cllr Rajawat Clive Palfreyman, Executive Director of Finance & Resources Score 20 Description Risk of failing to manage within agreed budgets The scale of the financial challenges facing the Council is becoming more significant with a real need to effectively identify and deliver savings and ensure spending is controlled at budget levels or less. There are concerns moving forward of potentially being unable to deliver statutory priorities. There is a need to collectively prioritise and identify savings for future budgets with sufficient foresight and manage demand that will enable future year budgets to be sustainable and reduce the current level of Council overspend. Consequences Unable to deliver MTFS. Failure to manage within budgets leading to section 114 notice Failure to afford statutory responsibilities Failure to deliver savings and financial support for the organisation Inability to finance borrowing requirements for capital programme Failure to fund member priorities & new Corporate Plan External criticism by statutory bodies Financial penalties (e.g. CRC, carbon reduction commitment –Government tax) Longer term financial instability Loss of credibility & damage to reputation Depletion of reserves 109 Cashflow difficulty Current Timely finance reporting controls in - Development of MTFS included key stakeholder engagement place - Budget setting for February 2021 complete. MTFS aligned to Recovery Plan and Corporate Plan - Regular Lead Member / Director challenge sessions with Finance focussing on overspending areas. - Working towards interactive MTFS budget manager tools. Updated Budget Monitoring processes being rolled out which has included more oversight from Lead Members in overspend mitigation. - Continual monitoring of COVID19 impact and continual liaison with Government to ensure Council costs are met both in the immediate and longer term. Key COVID19 issues include:  Immediate costs to respond to emergency  Longer term service delivery costs  Uncertain financial position impacting on longer term planning  Permanent reductions to income  Reduction in asset values (including Pension Fund) -Regular updates on the financial position related to COVID are submitted to MHCLG, CLT & Cabinet. -Fair Funding review due & NNDR reset deferred but when re-established will be a material risk to LBH future projections.’ - Each overspend over £100k requires a formal mitigation plan. - Focus on #1Hounslow Programme now delivering against 2021 budget gap

Effectiveness Whilst the Council’s budget monitoring and internal and external audit processes are robust, these in themselves will not identify the of current savings that need to be delivered to balance the budget nor will they fully ensure that budgets are managed within. Considerable activity controls is undertaken on overspending budgets involving Lead Member challenge of budget holders and this also involves ensuring savings proposals are robust and deliverable and that spend is minimising but the Council is currently overspending. A summary of budget numbers and pressures in each area is issued periodically to each Lead Member. For COVID19, continual benchmarking with the sector and cross border working is undertaken to monitor trends across the sector. Comparatively, LBH are performing reasonably in this regard although Government funding does not cover cost and there is genuine concern regarding the longer financial impact of COVID. Limited detail on 2022 Settlement available from MHCLG.

Score Likelihood High 5 Impact Catastrophic 4 Total score 20 Further action Identification of deliverable savings to balance the budget. to manage Planner and programme improvements – Agresso Planner development, Improvement Programme established, Budget process being residual risk redefined. Capital processes being defined and new monitoring process ready for April 2020. Capital Strategy Board now established. Mitigation & monitoring of savings MTFS being prepared for September submission to Council which manages as a priority key issues within overspending areas. In year savings programme may be required. Preparation beginning for difficult 2021/22 budget setting process in conjunction with Leader & Lead Member for Finance 110 Briefing for new Lead Members to be undertaken and summary documents recently prepared and circulated. Regular COVID19 reporting to Gold & Members. Ongoing Financial monitoring with updated Financial procedures established for COVID19. Updated Financial Regulations being prepared for March Council submission.

Risk 6 Staffing, including supply chain Refreshed Feb Cllr Atterton Steve Whitehead Director of Human Resources and Organisational Development Score 9 2021 Description Risk that the Council cannot attract and retain the staff/skills needed, both direct and supply chain employees.

The Council operates in a complex environment with limited resources delivering a broad range of services to a large population. The challenge of the workforce is to be able to recruit and retain the right people with the right skills. There are several ‘difficult to recruit’ areas including children’s social workers, education and early intervention specialists and other niche roles. The composition of the workforce is older than average when compared against other sectors which creates future challenges.

With limited pay flexibility and an outer London location, the Council risks becoming unattractive as an employer, particularly to younger people and the most talented leaders. Changes to immigration options from July 2021 may have an impact on recruitment especially in hard to fill posts.

The dependency on outsourcing and partnership working impacts on the control we have to provide the staffing services the council needs.

Consequences The consequences of this risk are:  Insufficient number of people to deliver our services 111  We don’t have a sufficiently skilled workforce to deliver our future ambitions  Not spending our money efficiently, if we need to: o re-recruit people who leave or who cannot deliver our ambitions o manage disaffected employees, which could result in direct (legal) or indirect (internal resolution) costs o compensate for poor quality / gaps in provision from service providers  Reputational damage as the employer of choice in the Borough

Current  Fully Embedding values and behaviours – to make us an employer of choice controls in  Launching the performance management framework – performance conversations facilitating much fuller engagement which place will improve retention  Piloting new recruitment approaches – new JD / advert template; Get Involved site  Business Partner support to tailored recruitment campaigns  Establishment of Staff Equality Networks which provide support for colleagues, raise awareness of issues and facilitate engagement with senior leadership on areas of concern  Launch of the KickStart Scheme to attract new, young talent and support our community  National Graduate Development Programme –employing talented young people  Extensive curation of resources on develop and learn website, with a focus on health and wellbeing  Range of Employee Benefits  Apprenticeship levy is being effectively utilised in areas where there are skills gaps/ shortages  Non-permanent staffing target is being achieved and we are one of the lowest users of temporary staff across London Councils Contract management of outsourced / provider services to monitor quality and performance. Effectiveness  The Council’s turnover remains relatively stable and sickness levels are falling. of current  There are on-going issues recruiting to specific roles. controls  Contract management of outsourced services has been strengthened but requires further improvement.  The Apprenticeship levy and NGDP requires a more strategic approach to realise our ambitions for these programmes  Recruitment concerns exist for certain service areas (e.g. social care, Educational Psychologists).  Improved engagement and communication has helped to motivate and inspire our staff. The last staff engagement survey confirms that people are proud of the way we’ve responded to the pandemic and appreciate the new style of leadership we have at the top of the organisation.

Score Likelihood Low 3 Impact Critical 3 Total score 9 Further action  Implementation of Organisational Wellness Strategy to bring together elements of HR & OD, bringing a holistic approach to to manage recruitment and retention residual risk  Investing in leadership development to provide clear pathways and expectations  Better use of apprenticeship levy and graduate development to grow our own talent  Reviewing recruitment experience, for managers and candidates, to make this the best it can be  Working with the staff network groups to identify barriers to recruitment and progression, making Hounslow an employer of choice

112 Refreshing our HR policies to become people-centred frameworks, which are based on our values

Risk 7 Health & Safety Sept 2016 Cllr Grewal Niall Bolger, CEX Score 12 Description Failure to appropriately resource and manage health & safety responsibilities in key, high risk areas There is a need to ensure a council wide Health, Safety and Wellbeing Strategy is delivered effectively, that health and safety (H & S) is appropriately and consistently managed in all areas for which Hounslow have responsibility, and compliance against statutory and best practice provisions are achieved.

Hounslow has a significant role to play in supporting the physical and mental health and wellbeing of staff during this Covid period. The council needs to protect its most vulnerable staff, maintain workplaces and publicly accessible buildings in a safe and hygienic manner, and have supporting management systems to reduce the likelihood of infection, through the full range of its activities Consequences Potential injury and fatality of resident’s, staff and others Failure to meet statutory provisions and achieve compliance. Enforcement action by the HSE (Health & Safety Executive and LFEPA (London Fire & Emergency Planning Authority) Staff absences due to ill health; Possible litigation; Possible government intervention Councils reputation undermined Current Health and Safety Management system and a system of governance in place, and Corporate Health, Safety and compliance Action plan. controls in Covid specific management controls supported and informed by risk assessment's place Ongoing Health & Safety policy and procedural review and development. Health & safety learning and development strategy Specialist Asbestos Manager Performance reporting at CLT, SLT and DLT levels 3-yearly internal audit cycle in place for Departments 113 Occupational Health and Health Surveillance programmes for relevant and identified staff Effectiveness New and existing controls need to be consistently supported to ensure the Corporate H&S action plan and other associated plans are of current aimed at maintaining life and wellbeing, support the long-term H&S management aims, and ensure acceptable level of compliance. controls

Score Likelihood Significant 4 Impact Critical 3 Total score 12 Further action Support and reinforce Covid- 19 secure management arrangements informed by Risk Assessment, to include space planning, social to manage distancing set up, signage, and an enhanced cleaning regime. Supported by appropriate communication, induction staff behaviour and residual risk use. Development of a suite of virtual HS training to include Manager training on general HS management and risk assessment to support high levels of competency required in this area. A new 4 year health & safety (wellbeing) strategy in 2021 with a balanced focus on safety, health and wellbeing Increased focus on ensuring the effective maintenance, and monitoring of HS services and systems that impact on fire safety, asbestos and legionella as well as the competition of required corrective actions Improved compliance in key areas or risk assessment supported by a full compliance assurance programme, working in conjunction with the Councils Corporate Property Services. The Recruitment of a Compliance Assurance professional is required to support on this for a coordinated approach. Plan development to support aspirations on the Future shape of HS which incorporates HS culture and engagement, balances health with safety, and simplification and alignment of associated policy and procedure Renewed emphasis on DSE safety, lone working, comfort and use to support increased home working for a majority of council staff due to COVID-19 Risk 8 Digital & IT Sept 2016 Cllr Grewal Mark Lumley, Director Digital & IT Score 12 Description Data breach - Resident and staff sensitive and personal information confidentiality breach. Cyber security Incident – Malicious hacking, Malware incident e.g., virus or ransomware, Social engineering e.g., password breach Non-compliance – with standards; Public Services Network, Information Governance Toolkit, DWP, PCI, GDPR. Business continuity – Audits indicate that services across the organisation do not have fit for purpose business continuity plans ready for action in the event of IT outage. Disaster recovery – Recovery if critical IT systems are damaged or otherwise fail. Failure of organisation to reduce headcount – Cost associated with total IT user headcount - currently there are approx. 2350 users requiring equipment and licensing.

Consequences Data Breach – Health, safety, privacy and financial risk to individuals, Information Commissioner’s Office can impose six figure fines. Reputational damage. Cyber-Security – Significant risk of reduction or total loss of service impacting upon all services, loss of data. Loss of administrative control of IT systems. Combined with poor business continuity plans could put vulnerable groups at significant risk. Non-Compliance – Reputational risk and reduced confidence in on-line services putting greater pressure on traditional face to face and telephone services. Business continuity – Lack of effective business continuity planning by services in the event of an IT outage will impact service delivery and reputation and increase risk to vulnerable groups. 114 Disaster Recovery – In the event that staff, servers or parts of the network are not available staff will have varying degrees of IT outage. Total loss of network core will result in total IT outage. Failure of organisation to reduce headcount – Financial impact - savings tied directly to headcount and reduced IT consumption. Current Digital & IT Strategy & governance - Departmental, IT and Finance governance boards including senior service and Digital & IT controls in management representatives to agree priorities and oversee the successful implementation of department technology projects and place roadmaps. Strategy, projects, roadmaps and associated budgets 2018 - 2020 are being reviewed. Data breach – Information governance team monitor risks through privacy impact assessments, technical facilities provide controls for data owners to manage risk such as encryption. Awareness/training delivered, policies defined, Information Asset register. Cyber Security - Regular patching, maintenance, awareness/training, anti-malware software, Digital & IT Security team monitoring. Non-Compliance – Digital & IT Security and Information Governance assess change, advising the business and IT accordingly through appropriate channels. Regular monitoring, testing, training and awareness, enterprise records management procurement.

Business Continuity – Critical supported systems supported by minimum of two IT officers. Arrangements with suppliers to backfill skills in the event of loss of some key staff.

Disaster Recovery – DR Contract in place to stand up IT service for Hounslow. The solution is dependent upon basic network availability and VPN availability for a limited number of staff to access the DR solution via Hounslow House or the Civic Centre. Residual risk exists where Disaster Recovery facilities do not cater for total loss of the core network or connectivity to the VPN solution. Failure of organisation to reduce headcount – Starters and Leavers process manages the volume of accounts and licenses in use but cannot influence the associated cost of actual use. Capital funding for Digital Programme has been approved for the next 3 years as part of the Digital Strategy.

Specific review of a recent London Borough cyber-attack with a rigorous review of our own systems. Learning points from that London Borough reported to CLT and numerous internal meetings. Effectiveness Controls need to be robust to ensure forthcoming Digital Strategy and programmes are delivered on time and to budget, whilst undertaking of current Business As Usual (BAU) projects and maintaining systems. controls The Council has now approved the Digital Strategy and this comes with a new governance arrangement for Digital projects, Digital Strategy board for members and one for Officers to set the direction and a new Digital Design Board which is a cross council group of individuals to ensure that projects and systems purchased are done according to the principles and are delivered. This will include service design, a business case and confirmation around resources to deliver. Score Likelihood Low 3 Impact Critical 4 Total score 12 Further action Data breach – Technical controls are being developed to monitor and automate application of controls where possible. Review of to manage Information Governance processes underway to simplify and improve compliance. residual risk Cyber Security - IT Security are now reviewing new solutions and controls to mitigate and manage increasing risks of Cyber-Security incidents however this will require additional funding, particularly considering the events in Hackney. IT Network implementation for Hounslow House builds in capabilities to deploy security fixes using automation increasing speed of response. Bid for funding to support the work in progress. Non-Compliance – Ongoing monitoring and technical controls are being investigated and developed to automate application of controls 115 where possible. Business Continuity – Digital & IT will support contingency planning team in carrying out business impact assessments of each service area so that they create business continuity plans to deliver service without IT facilities in the event of disaster. Audit of existing BC plans requested. Need to have a complete view of the Business Impact Analysis from the DR plans from across the Council – this doesn’t exist currently and working with Business Continuity team to pull together to give a detailed order of recovery – to be in place by the end of 2020. Failure of organisation to reduce headcount - Will further pick up through the digital transformation work and the Digital Design Authority to ensure that projects now are reviewed for savings and efficiencies and that is monitored for delivery Disaster Recovery – DR solution does not cater for an event where the core network and VPN is not available, mobile phone email access will continue to work. Future work on DR will investigate options once BC plans are audited and gap is clarified. Digital Festival - due to be launched in November 2020.

Risk 9 Recycling Strategy Sept 2016 Cllr Lambert Victoria Lawson, Executive Director of Environment, Culture &Customer Services Score 6 Description Failure to create a cleaner and greener Borough The corporate plan outlines two key pledges. These are: Recycling Overhaul doorstep collections to make recycling easier and collect fridges, mattresses and other bulky items to reduce fly tipping. Potholes Invest £2 million to fix potholes in local roads - and invite residents to nominate the roads that need it. These need to be delivered alongside, the outcome in the corporate plan on ensuring people feel proud to live and work; which means residents and visitors see a clean, attractive borough - Hounslow is a destination people want to visit, an appealing place to spend time in, and a borough people are happy to call home.

The key priorities to ensure the delivery of the above, include but are not limited to:

 creating a cleaner borough (as agreed at Cabinet in March 2019) including reduce fly tipping; Complete  increasing our recycling rate and minimising the waste produced; Recycling Rate is increasing  responding to the climate change emergency called in June 2019 ; Action Plan in place – Part of Green Recovery 116  delivering against the air quality action plan (as agreed at Cabinet in September 2018).  Creating a greener borough (Reporting to cabinet in December 2019) Complete

Consequences Loss of reputation to Council and Lampton 360 (and Hounslow Highways) Impact on delivery against ambitions Reduced resident satisfaction with Hounslow Increased public health risks Higher costs for disposal of unrecycled waste and recycling targets not met Current GLA approval of our Waste Reduction and Recycling Plan with many initiatives underway, Management of relations with Hounslow controls in Highways (HH) Ltd, Greenspace 360 and Recycle 360 – New Contracts and Performance Metrics in place, A review of PFI objectives place and contractual performance metrics underway, Partnership with HH Ltd recognised as best practice, Cleaner Greener Hounslow (CGH) Programme, – extensive action plans in place and Agile delivery underway Cleaner Borough programme and governance – Revived under Green recovery with creation of a green partnership board Strong strategic framework in place for the environment Air quality strategy and action plan

Effectiveness Overall, the controls in place are effective. In the context of Covid we need to continue to press for a minimisation in waste. The Council of current and its partners has made the necessary decisions to deliver the required change and change is progressing well with strong controls performance metrics being delivered and improved public spaces being achieved . There is a strong agreed strategic framework in place and working well with all partners. Pothole Pledge - Two phases of the pothole pledge have been successfully delivered within timeframes and to budget, with the last phase in delivery. Recycling Pledge - Reduction and Recycling Plan approved by GLA, and recycling in the borough has increased by a considerable 2.5% in the last year. Food Waste Recycling refresh underway and being rolled out to high rise properties with over 7500 properties now being served and there are plans and funding in place to deliver all the remaining properties alongside a refresh of the existing service. New Green recovery Strategy approved by cabinet in January 2021. Score Likelihood Very Low 2 Impact Critical 3 Total score 6 Further action To deliver the Green recovery there has been approval for the creation of new fixed term roles to accelerate the delivery of the to manage programme and the climate emergency action plan. This new team is being formed and recruitment has commenced. residual risk The programme governance processes within the directorate have been revised to reflect the governance required to deliver the Environmental outcomes the organisation requires including the creation of a new Green Partnership Board. Working with West London Waste Authority. A mitigation plan is in place for the underlying budget pressures present as a result of covid 19.

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Risk 10 Commerciality – Lampton 360 Sept 2016 Cllr Curran and Cllr Lambert Clive Palfreyman, Executive Director of Finance and Corporate Resources Score 8 Description Risk that Lampton 360 and other Trading Companies (e.g. COALO) will not be sufficiently commercial or fit for purpose The companies will need to be sufficiently commercial and fit for purpose. This requires changes to culture, operating processes and shifts to become more business focused and to successfully manage and deliver in a commercial setting. There will be an increased requirement to market the core service and develop a brand image and website. Consequences Commercial elements of business not developed or implemented effectively Liability, financial and governance issues Financial failure requiring scarce Council funding to be diverted to support company and its subsidiaries. Failure to exploit opportunities Core Council business undermined Current The Shareholder Agreement sets out the mechanism for ensuring continuing alignment between the operation of these businesses and controls in the Council’s objectives and long-term goals. place Cabinet approved refreshed governance arrangements for the trading companies in June 2019 with a further update paper presented in June 2020 and September 2020.

COVID impact being monitored closely with Coalo being most exposed. New contracts and performance metrics in place for R360 and GS360 along with new performance management controls and change processes. 118 A September Cabinet report outlined changes to the Company that are proposed. September Council also agreed to move Leisure Services into the L360 Company on 1 November which has now occurred although Covid impacted.

New business plans are being developed for submission to Cabinet in March 2021 following eth December 2020 Commissioning Papers. A new Shareholder Board has met and interviews are being undertaken to effect the board changes the September 2020 paper required.

Effectiveness Recycle 360 continue to work in improving the recycling rate in order to meet financial targets however operational performance remains of current effective with a 99% success rate for collections. controls GreenSpace360 & COALO operationally are performing adequately and becoming embedded. Controls within the property companies are operating well.

Governance processes are being improved which will include regular operational and financial reporting to Cabinet. However, COALO & Greenspace360 have struggled to meet financial targets. Other companies have or exceeded. Greenspace will post a small deficit for 2019/20. Coalo’s underlying financial model is sound but the nature of its work has been impacted by COVID19.

Risks related to Lampton Leisure are being assessed. Score Likelihood High 4 Impact Marginal 2 Total score 8 Further action Taking forward the recommendations of the Governance papers particularly agreeing contracts for the services delivered to the Council to manage and delivery of performance reporting to Cabinet. residual risk Close working through COVID19 restrictions on COALO financial model to support the business.

119 Risk 11 Health and Safety - Property Sept 2016 Cllr L Bath & Cllr H Khan Peter Matthew Executive Director of Housing, Planning and Communities Score 12 Description Protecting residents and staff and visitors from poorly maintained council housing and corporate property. This includes safety of asbestos, gas, fire risk assessments and precautions, water and electrical systems, and equipment such as lifts. Consequences Reputational: serious injury or death arising from negligence, in any of the buildings or grounds for which the council is responsible, would risk the council appearing careless and ineffective. In a worst-case scenario, Government could intervene in the running of council services, if it believed these were being improperly managed and the council was incapable of the necessary improvements. Financial: poorly managed risks may escalate and lead to greater repair and maintenance costs, increased insurance fees, potential claims for compensation or charges for alternative accommodation. Legal: potential civil claims for damages against the council, additionally senior officers suspected of being negligent through their actions or inaction could face criminal charges; corporate manslaughter is a possible criminal charge that could be placed against the council as an organisation. Health and wellbeing: serious injury or death would clearly have a negative effect on those immediately affected; it would also cause anxiety and distress amongst the wider population of residents and employees. Current Policies and procedures across housing to ensure the safety of council housing stock and the HRA estate. These have regard to controls in statutory requirements and are reviewed regularly to ensure that they reflect best practice. Compliance monitoring and regular risk place assessments ensure appropriate monitoring of all known risks. Resources are prioritised where there are perceived areas of weakness. Audit trails, including certification where relevant, exist to protect the council in the event of any potential legal action. Summary 120 information is reported to Housing, Planning, & Communities (HPC) Senior Leadership Team (SLT) and though the council's finance and performance monitoring, to ensure senior officers are sighted on potential issues. The Council’s Facilities Management & Health & Safety Team currently has the responsibility of the compliance and Health & Safety of the Council’s corporate buildings. Avison Young are commissioned to provide checks in leased commercial properties; multi-let properties are overseen by Facilities Management; schools and operational buildings have their compliance monitored by the occupying service. Effectiveness Controls for gas safety, water quality and other risks in relation to HRA buildings are effective. There are residual risks associated with of current asbestos, fire safety and electrical testing, programmes of accelerated works are in place to deal with historical backlogs. there are no controls known critical or high risks within the backlog. The management of risk across the portfolio of corporate properties was inherited by HPC on 1 September. The current control systems are under review and improvements are included in the introduction of the Corporate Landlord model within the HPC directorate, to align with the existing procedures for housing stock and HRA assets. Score Likelihood Low 3 Impact Catastrophic 4 Total score 12 Further action Urgent action continues to bring the compliance regime for corporate property in line with the successful model used across the HRA to manage including the collation and review of current compliance data from the Corporate Property assets residual risk

Risk 12 General Data Protection Regulations (GDPR) May 2018 Cllr Grewal Clive Palfreyman, Executive Director of Finance and Corporate Resources Score 6

Description Failure to comply with General Data Protection Regulation (GDPR)

Consequences Risk of breach of data by inadequate data handling. Unlawful sharing of data. Failure of External Providers to process and protect council controlled client information. Reputational damage, decision notices or significant financial penalties levied by the Information Commissioner’s Office. Failure to share data when necessary in the interests of safeguarding children and vulnerable adults due to staff anxieties about data breaches. Current Mandatory online awareness training for all staff. Classroom training and Information Governance advice service. Intranet pages controls in updated and all GDPR policies and processes are in place such as ROPA (record of processing activities) and DPIA (data protection place impact assessment). Information Governance management and reporting of Data Breaches and direct Liaison with the ICO Systems in place to record and manage requests from individuals under GDPR SLAs. GDPR Compliance Plan in place to identify and support delivery of GDPR requirements for Health and Social Care Data. IMF Board oversight and monthly reporting to SIRO 121 Annual Report to CLT delivered in September 2020 and Chief Officer & Member training planned. Effectiveness Corporate Information Management Framework Board oversees all matters of Data Protection and GDPR compliance of current CHAS GDPR Compliance Group set up to identify activity required and support delivery. controls DPIA approval for any major changes, projects, new contracts etc. identifies and mitigates risks prior to implementation. GDPR-related clauses in Council contracts. Data handling included in our procurement evaluation criteria. GDPR questionnaire completed prior to contract award and agreeing actions to address concerns about a provider’s data handling. Monitored by Information Governance 2020 has seen a reduced number of data protection breaches. Score Likelihood Very Low 2 Impact Critical 3 Total score 6 Further action Ongoing Data Protection Impact Assessments for all new initiatives and major changes/ projects to manage Ongoing contract management to include GDPR compliance checks residual risk Ongoing dialog with the Information Commissioner Office Further communications given enhanced remote working during COVID19 times. Ongoing mandatory and bespoke training for teams throughout the organisation GDPR Compliance Plan in place to identify current progress and actions Ongoing management of all customer requests under GDPR and reporting against SLAs to Corporate Leadership Team. Ongoing maintenance Sharing Agreement register

Risk 13 Exiting the EU October 18 Cllr Grewal Victoria Lawson, Executive Director of Environment, Culture &Customer Services Score 6 Description Risk of failing to respond effectively to the local implications from Exiting the EU Following the transition period ended and the United Kingdom left the EU single market and customs union with a trade agreement, the ongoing medium to long term effects, challenges and potential opportunities are continually assessed by the London Resilience Partnership, along with London Councils Consequences Financial – The loss of EU funding, slow growth of the UK economy also has the potential to reduce Local Authority revenue from business rates and council tax. Negative impact on people’s spending power and exchange rate. Workforce – Uncertainty of the rights of workers from the EU may impact on the recruitment and retention of staff within specific roles. Reliance on EU labour & students. Areas of concern include health & social care, construction and environmental services (particularly around possible additional environmental health checks at Heathrow Airport) Supply Chain – Increased border checks and controls may impact the supply chain with specific concern over food and medical supplies with more visible impacts on ‘just in time’ deliveries. Potential increase in cost of goods and services. 122 Demand for Services – The potential return of expats would lead to an increase in demand for local services including housing and medical care. Increase in requests for advice and services from EU residents concerned about uncertainty. Education –Potential for a fall in demand for places at London’s primary and secondary schools as number of EU citizens resident in London falls. Loss of EU capacity and talent from Hounslow’s schools (e.g. foreign language capacity). The UK government recently announced a new program, known as the ‘Turing scheme’, to replace ‘Erasmus+’. This is likely to affect the number of higher education students that choose to study in the UK. Data– If there are restrictions in access to the EU’s various databases, networks and systems, then this could cause implications around the transfer and access of council and partner organisations data. The EU has agreed to a "specified period" of four months, extendable by a further two months, in which data can be exchanged in the same way it is now, as long as the UK makes no changes to its rules on data protection. Current Director led Lead Officer for Brexit Preparedness Executive Director of Environment, Culture and Customer Services is the Brexit controls in Lead Officer and single point of contact, with the Head of Resilience and Contingency Planning deputising. The Contingency Planning place Unit lead on coordination and are the Brexit delivery team. Member Engagement Cabinet were presented with an updated report on the local planning and mitigation plans in place for Hounslow. This was presented and agreed at Cabinet in October. Internal Resilience Group Oversee Brexit preparedness as a standing agenda item in meetings. Ongoing regular coordination meetings take place to ensure that Contingency Planning across the organisation is undertaken including comprehensive risk assessments and a specific project plan is in place. Hounslow Brexit Contingency Plan Still in place outlining the council’s approach to tracking and managing Brexit related impacts against risk assessment, data, intelligence analysis. Council Gold arrangements in place to expand the council’s response capability at the strategic level to any Brexit related impacts. Testing and Exercising – scenario-based table-top exercise was delivered to Council Gold in 2020. Coordination and information sharing – ongoing engagement is being undertaken regionally and locally to ensure that work to identify impacts and mitigation measures take place. Business continuity plans have all been refreshed in early 2021. Specific Contingency Plans –such as those in place for Fuel Disruption and Community Cohesion have been revised and are now in place EU Settlement Scheme Publicity Work is ongoing to advertise the EU Settlement Scheme to vulnerable groups ahead of the closure date of 30 June 2021, to mitigate the impact from No Recourse to Public Funds. There is support in place for these residents to identify them and assist them with their application when required.

Effectiveness A detailed Brexit Contingency Plan and associated Risk Assessment based on the planning assumptions has been developed. A of current caveat must remain that this is subject to change based on changes to the national political situation and clarity and further planning controls assumptions are required from central government as the situation changes to aid any preparations necessary. Oversight remains as part of the London Resilience Partnership Arrangements, including London Strategic Coordination Group (SCG) and the London Local Authority Gold arrangements. Score Likelihood – Very Low 2 Impact – Critical 3 Total score - 6 Further action Further information and guidance - There is a need for more information on planning assumptions for a no deal Brexit and a central to manage steer from government on what extra resilience and contingency plans we are expected to have in place. residual risk Coordination – There is a need to ensure a joined-up approach in requests for information, there is the chance that boroughs will receive multiple requests direct from government departments, GLA, London Resilience and London Councils. 123 Reporting – If there is a no deal Brexit we may need to contribute to a reporting structure

Risk 14 Responding to Business Continuity and Emergency Incidents October 18 Cllr Grewal Victoria Lawson, Executive Director of Environment, Culture &Customer Services Score 9 Description Risk of failing to respond effectively to a major emergency and/or severe business disruption. The Council is a category 1 responder under the Civil Contingencies Act (2004), putting it at the core of the emergency response with a full set of civil protection duties requiring the maintenance of plans for preventing emergencies; reducing, controlling or mitigating their effects. Consequences Activation and coordination – failure to activate, coordinate and maintain emergency response arrangements in or out of hours in response to a major incident affecting the borough. Inability to support other emergency responders (e.g. the Emergency Services) Emergency capability Plans – failure to have effective emergency response plans in place that are periodically tested and reviewed. Business continuity – failure to have appropriate structures and up-to-date business continuity plans in place to support a managed response to major business disruption and/or failure to effectively identify and maintain critical services. Lack of response staff – failure to maintain a response due to lack of appropriately trained and tested staff in defined response roles. Recovery – inability to effectively recovery from and restore relative normality and implement lessons from historic incidents. Statutory duties - failure to meet statutory duty of immediate service delivery due to planned or unplanned business disruption. Reputation – failure to manage a crisis leading to major damage to the Councils reputation, national media interest and/or complaints. Loss of life/major trauma – loss of life, major trauma/injury due to a failure to respond in an emergency or deliver a critical service Loss of revenue – major loss of revenue due to failure to deliver critical services (e.g. fines, penalties, loss of revenue etc). Current On-Call Standby and Command and Control Arrangements – Trained cadre of Emergency Duty Officers in place 24/7/365 to activate controls in our response arrangements including Council Gold On-Call for strategic command, Council Silver and Borough Emergency Control Centre 124 place – BECC - (both virtual and physical) to support coordination. Emergency Capability Plans - The Council has in place a dedicated team, the Contingency Planning Unit (CPU) that coordinates emergency and business continuity preparedness, response and recovery activities. The strategic Major Emergency Plan, underpinned by several annexes outlining specific capability plans in place to mitigate the risks. Risk Assessment - Comprehensive risk assessment undertaken by the Hounslow Resilience Forum (HRF) Risk Assessment Working Group (RAWG) producing the multi-agency Hounslow Community Risk Register. Business Continuity Programme (BCP) – An annual programme where all services are required to update and test their BC plans, with critical services are required to complete a Critical Services recovery plan. All BC plans will be updated and tested periodically in 2021. Hounslow Local Resilience Forum –coordinated approach to local multi-agency integrated emergency management, resilience, contingency planning and risk assessment. Resilience Standards for London (RSL) – a set of 11 Standards for all of London Local Government covering a wide range of organisational resilience elements, with our position detailed in a self-assessment and checklist. West London Sub-Regional Resilience Meetings – strategic CE’s and Director led to provide direction to local authority preparedness. Training and Exercising Programme – comprehensive ongoing programme of training and scenario-based exercising for specific emergency response roles across strategic, tactical and operational levels, including pool of Emergency Response Volunteers (ERV’s). Elected Member Training and Awareness – Comprehensive training is underway to ensure that Elected members are briefed and fully aware of their roles and responsibilities. Effectiveness Ongoing review Resilience Arrangements - Major ongoing review of resilience across London (EP 2020), including specific projects of current including standardisation of emergency plans and procedures. Likely review of resilience arrangements following the protracted controls response to COVID-19

Score Likelihood Low 3 Impact Critical 3 Total score 9 Further action to manage residual risk

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Risk 15 Keeping residents safe January 2019 Cllr Dunne Peter Matthew Executive Director of Housing, Planning and Communities Score 12 Description Protecting residents from a surge in crime as lockdown restrictions are lifted and from extremism and dangerous business practices. This includes a specific focus during the recovery phase on domestic abuse/violence (DA/DV) , serious crime, promotion of community cohesion, dissuading residents from ideals and behaviours that could lead them to commit crime or acts of extremism, and enforcing standards across the private sector in Hounslow.

Consequences Reputational: critical incidents involving murder as a result of an increase in domestic abuse/violence, violent and serious crime, terrorism / radicalisation, a major incident caused by extremism in the borough, or serious injury or death of a resident due to unsafe business practices (Food poisoning, legionnaires disease fatal fire in a licensed HMO, building collapse, poisoning due to illegal alcohol or injury through unsafe imports and toys as well as safety at events and licensed premises)would place the council under intense public scrutiny, to justify that it had done everything within its power to prevent the incident from occurring. There is a statutory requirement to have an up to date partnership Community Safety Strategy, which has now expired (31/03/20) and there will be significant delays in refreshing it. Financial: the cost of responding to any major incident would place a significant financial burden on the council, with long-lasting effects likely into the medium-long term; fear of repeat incidents of crime, extremism or injury through dangerous business practice could be deleterious to the economic health of the borough. conducting independent reviews into residents who have been murdered can lead into thousands of pounds. Additional resource required to respond to the significant increase in referrals to the Council’s DA/DV team. Health and wellbeing: serious crime against the person could result in physical injury and worst case scenario murder; the fear of 126 crime or extremism could cause anxiety and distress amongst the wider borough population. Current The Community Partnership Unit lead on tackling extremism, radicalisation and building cohesion across the borough and delivering on controls in the corporate statutory requirements under the Counter Terrorism and Borders Security Act. The work programme (annual) is driven by place the Lead member led, Stronger United Community Group (SUCG), and is informed by the Prevent delivery action plan which is monitored and evaluated by the Home Office and Office for Security and Counter Terrorism and SO15. Operational procedures including multi-agency case reviews and actions plans are in place for handling the risk of individuals or groups considered vulnerable extremism or engaged in activities that could lead to death Funding is received from the Home Office dedicated to deliver projects and community engagement events dedicated to reduce opportunities for grooming towards radicalisation and acts of terrorism.. SUCG informs the Counter Terrorism Local Profile. The Community Safety Team lead on a number of plans covering Violence Against Women and Girls, Drugs and Organised Crime, and Reducing Reoffending and inter-departmental work takes place to address violent and serious crime Strong working partnership arrangements including sharing of information are in place to prevent escalation of issues. The current focus of the team is to ensure effective measures are in place respond to domestic abuse/violence. There are also regular meetings taking place with key partners including third sector organisations to address DA/DV including an extensive communications plan. Two specialist DA/DV workers have been redeployed to Housing to support DA/DV related homeless enquiries and agreement reached with the Home Office, to use some of the funding for the Children Affected by DA Project to create a DA/DV perpetrator behaviour role. A further control has been put in place with regular meetings between West Area Basic Command Unit (BCU), Community Safety and Enforcement Teams, to address covid related community safety issues. The West Area have a created a new Violence Suppression Unit, have bolstered their Gangs Unit and have a new uniformed proactive team which can be deployed to violent crime hotspots.

There are dedicated teams responsible for Food Safety, commercial Health and Safety, Housing Enforcement, Trading Standards, Licensing and Building Control. Operational procedures are in place to proactively inspect premises and goods to ensure that safety standards are met, as well as to respond to concerns raised by residents and businesses. The multi-agency Safety Advisory Group reviews the arrangements that organisers are planning for large events in the borough, to ensure that they can be held safely. Effectiveness Crime levels have remained low during covid but are slowly increasing to expected levels for this time of the year. There is a potential of current for further fatalities if violent crime levels return to pre-covid Despite the reconfiguration of our inhouse DA/DV services, increase in controls demand is at crisis point and there is a significant backlog of MARAC (Multi Agency Risk Assessment Conference) cases. The West Area BCU will be able to react quickly to any violent and serious crimes through new the Violence Suppression Unit.

CPU Prevent & CE team(Community Partnership Unit Prevent and Counter Extremism Team) have seen an increase in the number of referrals to the statutory Channel Panel. They have worked cohesively as a panel to put in place support measures to move vulnerable younger people away from activities that could cause arrest, or ultimately death to themselves and others. We continue to work across MAP (Multi-Agency Partnership) to signpost those who are being groomed online/ offline towards support.

The inspection programme for commercial premises is monitored to ensure that inspections are carried when due.

Score Likelihood Significant 4 Impact Critical 3 Total score 12 Further action To utilise the Thriving Communities Fund and the return of the workers in Housing to DA/DV Team, to meet the demand in DA/DV 127 to manage referrals, urgently review risk panels and tasking arrangements which need to be intelligence led using the new Community Safety residual risk Intelligence Analyst to ensure resources are deployed where they are needed the most, radical changes to the Integrated Offender Management will mean a focus on violent offenders and refresh the Knife Crime and Serious Crime Action Plan. Action plans are in place to address and manage any evolving risks and tensions on borough by the Prevent and CE team – in the case of terrorism and extremist related activity. Given the current C19 issues, we have increased the number of webinars – virtual meetings to support the Prevent Case Management systems (all) We have also continued to support educational establishments who remain open to support key workers. Our work with faith and community groups have grown exponentially over the last number of months and we have provided online platforms for discussions, debate and conversations with those most vulnerable in our community.

Risk 16 COVID-19 Response and Recovery February 21 Cllr Curran Niall Bolger - Chief Executive Score 15 Description Risk of failing to respond effectively to a pandemic or to support the community in their recovery in the event of subsequent waves of infection and differing variants of concern.

Adverse impacts being felt by the community including residents, businesses, and customers of Hounslow during periods of national or local measures (e.g. social distancing, lockdown restrictions, quarantine and shielding) and in the event of subsequent waves of high levels of transmission and infection.

The recovery leads to significant impacts on service delivery and resultant resource, financial pressures. Recession impacts on local economy including income sources.

Consequences Response 128 • Activation and resourcing of Emergency and Contingency capability plans and Command and Control arrangements • Care settings failings • Shielded residents not receiving adequate support • Vulnerable customers not being supported

• Residents suffering severe financial hardship • Businesses suffering severe financial hardship and winding up • Establishing and operating test, track and trace for Hounslow residents. • Distribution of mass medical countermeasures (e.g. Vaccinations) • Business improvements and support • Closure and cessation of business as usual including closure of non-essential public services

Recovery

• Backlog in service provision from national/local lockdown restrictions resulting in pressure on staff and finances. • Pressure on resources to provide interim care resources if the community is impacted. • Supporting schools and education establishments • Provision of other council services requiring access • Financial challenge of providing services in recovery when overall financial position is challenging • Loss of income from e.g. Council Tax, Business rates, development taxes (S106/CIL) • Impacts from increased unemployment. • Economic impact of multiple business failures • Disruption to or delay in the ongoing recovery process due to subsequent waves of high levels of transmission and infection including emerging variants • Disruption or delay in the mitigation measures including mass testing and vaccination programme rollout

Current Contingency Planning Arrangements - Activation and resourcing of Emergency and Contingency capability plans and Command and controls in Control arrangements. place Governance – CLT and Command, Coordination and Communications (C3) arrangements activated and put in place to oversee response and recovery activity. Council Gold group strategic lead throughout the crisis together with Tactical Silver Group and response Sub- Groups implementing operational delivery.

Contain and Outbreak Control Plan in order to mitigate a partnership response to local outbreaks and areas of higher infections 129 Local Resilience Partnership Working – Hounslow Local Resilience forum activated and Sub-regional arrangements in place with mutual aid arrangements and sharing good practice.

Dynamic Risk Assessment – ongoing review of the risks including reasonable worst-case scenario and associated government guidance

Covid Support Grants – measures in place to pay out government support grants to local businesses.

Self-Isolation Payments – measures in place to support individuals testing positive and having to self-isolate using government funding

Test, Track and Trace – measures established to provide community and targeted testing and tracing facilities within the borough via a Contact Tracing Working Group (CTWG) and NHS Track and Trace.

Shielding – community support and response offered to support those shielding and Clinically Extremely Vulnerable (e.g. via the Community Hub)

Personal Protective Equipment (PPE) advice and guidance for all staff applicable (e.g. frontline staff)

Mortuary and Excess Deaths Arrangements – contingency plans in place for increased in temporary mortuary capacity increasing body storage and transport capacity Workforce – measures in place to support the workforce including equipment and guidance to facilitate ongoing home working and other business continuity measures in place. Identification of at-risk staff groups, monitoring of sickness and absence levels. Provision of ongoing support and advice.

Critical Services - consideration of pressures on key critical services with staff redeployment and repurposing where required to maintain service continuity.

Communications and Engagement – regular communications to the community and staff on support, guidance and resources available during the crisis.

Mass Medical Countermeasures – partnership approach to the COVID-19 phased Vaccination programme rollout and promotion of uptake in the community

Recovery plan in place linking to One Hounslow programme. + summary of what the recovery plan does specifically to the Borough and our community (economy, environment, societal etc)

Effectiveness The Council has continued to support the Community through the pandemic. Work continues as necessary. of current 130 controls Recovery plan in place to support residents and the Community in the road to recovery.

Score Likelihood High 5 Impact Critical 3 Total score 15

Further action to manage residual risk Work continues to identify lessons from the ongoing from the pandemic, including enhancing resilience to future risks and events

Appendix 2

RISK RATING GUIDANCE December 2018

RISK CRITERIA FOR IMPACT

Level Description Effect on service Financial Personal Reputation safety 1 Negligible Minor service disruption Loss less than No injuries Isolated user £100k complaints. 2 Marginal Service disruption; Loss more than Injury requiring Moderate loss of failure to achieve a £500k medical reputation; service plan objective treatment; short adverse local term disability or media coverage impairment of health (mental or physical) 3 Critical Significant service Loss more than £1m Long term disruption to front line disability or services; breach of impairment of legislation; failure to health (mental or achieve 1 or more physical); service objectives 4 Catastrophic Ministerial intervention Loss greater than Fatality to Major loss of in running service; total £5m employee, reputation; service loss of a front service user or adverse national line service for a other media coverage significant period; failure to achieve major corporate objective in the Hounslow Plan

RISK CRITERIA FOR LIKELIHOOD

LIKELIHOOD Level Description Description 1 Almost impossible The event may occur in exceptional circumstances 0-20% chance 2 Very low The event could occur at some time >20% , <40 %chance 3 Low The event could occur at some time >40% , <60% chance 4 Significant The event will occur in most circumstances >60% <80% chance 5 High The event is expected to occur in most circumstances >80% chance 6 Very high The event is expected to occur; near enough 100% chance

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