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Department for Communities Annual Report and Accounts 2018-19

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Department for Communities Annual Report and Accounts 2018-19 Annual Report and Accounts for the year ended 31 March 2019 Annex includes Child Maintenance Service Client Funds Account 2018–19 Department for Communities Annual Report and Accounts for the year ended 31 March 2019 Laid before the Northern Ireland Assembly by the Department of Finance under section 10(4) of the Government Resources and Accounts Act (Northern Ireland) 2001 5 July 2019 Department for Communities Annual Report & Accounts (2018–2019) iii © Crown Copyright 2019 This publication is licensed under the terms of the Open Government Licence v3.0 except where otherwise stated. To view this licence visit: www.nationalarchives.gov.uk/ doc/open-government-licence/version/3/ Where we have identified any third party copyright information you will need to obtain permission from the copyright holders concerned. Any enquiries regarding this document should be sent to us at: Departmental Resource Accounts & Finance Systems Level 5, Causeway Exchange 1–7 Bedford Street Belfast BT2 7EG Telephone: 028 90 512644 Email: [email protected] This publication is also available to download from our website at: www.communities-ni.gov.uk iv Department for Communities Annual Report & Accounts (2018–2019) Contents Performance Report 1-36 Accountability Report 37-98 – Corporate Governance Report 39-64 – Remuneration and Staff Report 65-84 – Assembly Accountability and Audit Report 85-98 Certificate of the Comptroller and Auditor General 99-106 Financial Statements 107-186 – Statement of Comprehensive Net Expenditure 109 – Statement of Financial Position 110-111 – Statement of Cash Flows 112 – Statement of Changes in Taxpayers’ Equity 113 – Notes to the Financial Statements 114-186 Report by the Comptroller and Auditor General 187-212 Annex A Child Maintenance Service Client Funds Account 2018–19 213-265 – Statement of Accounting Officers Responsibilities 222-223 – Governance Statement 224-230 – Certificate of the Comptroller and Auditor General 231-237 Financial Statements 239-252 – Receipts and Payments Account 241 – Notes to the Account 242-252 Report by the Comptroller and Auditor General 253-265 Department for Communities Annual Report & Accounts (2018–2019) v Performance Report Performance Report The purpose of the performance section of the annual report is to provide information on the Department, its main objectives and strategies and the principal risks that it The purpose of the performance section of the annual report is to provide information faces. The requirements of the performance report are based on the matters on the Department, its main objectives and strategies and the principal risks that it required to be dealt with in a Strategic Report as set out in Chapter 4A of Part 15 of faces. The requirements of the performance report are based on the matters the Companies Act 2006 adapted for the public sector. required to be dealt with in a Strategic Report as set out in Chapter 4A of Part 15 of the Companies Act 2006 adapted for the public sector. Department1 for Communities Annual Report & Accounts (2016–2017) 1 Department1 for Communities Annual Report & Accounts (2016–2017)(2018–2019) 1 2 Department for Communities Annual Report & Accounts (2018–2019) Section 1 – Overview Accounting Officer’s Report These accounts consolidate the financial information of the Department for Communities (DfC) for the financial year to 31 March 2019. These are the third set of accounts for DfC which was formed on 9 May 2016 following the restructuring of the Northern Ireland Departments. The Department’s annual budget remained at almost £7 billion and some 8,200 staff continued to be employed (one third of the NI Civil Service). The Department provides support to meet the needs of some of the most disadvantaged citizens, families and communities across Northern Ireland. Areas of DfC responsibility included delivery of the social welfare system including child maintenance support, providing advice for those seeking employment, ensuring the availability of good quality and affordable housing, facilities for sports and leisure, supporting local government, maintaining museums and revitalising town and city centres. In delivering these services DfC achieved a wide range of Programme for Government (PfG) targets and commitments, and worked in partnership with other statutory and non-statutory bodies. Although we operated in a challenging financial and political environment following the dissolution of the Northern Ireland Assembly on 16 January 2017, and putting in place plans for the proposed withdrawal from the European Union, the Department performed well against the targets it had set. In summary the Department for Communities achieved 13 of its 19 targets set in 2018- 19. Purpose and Activities of the Department DfC is the largest of nine Northern Ireland departments. It was established under the Departments Act (Northern Ireland) 2016. During the period of this annual report, DfC had strategic responsibility in Northern Ireland for setting policy, bringing forward legislation and resourcing in the following areas: Department3 for Communities Annual Report & Accounts (2018–2019) 3 • Housing • Urban regeneration • Sport • Benefits and pensions • Social legislation • Helping people find employment • Arts and culture • Museums and libraries • Child maintenance • Voluntary and community sector and the regulation of charities • Ulster Scots and Irish Language • Historic environment • Local government • Public Record Office DfC Responsibility for Funds • The National Insurance Fund, within the remit of HM Revenue and Customs (HMRC), is excluded from the consolidation and the summary of resource outturn in the Statement of Assembly Supply. However, certain elements are included in the remaining primary statements. These are contributory benefits, all administration costs and their related assets and liabilities. • The Social Fund, which is consolidated within the primary statements. • A Client Funds Account to control the receipt and payment of child maintenance and fees from non-resident parents and parents with care. Child maintenance is collected from paying parents (non-resident parents) and paid over to the receiving parent i.e. parent/person with care of the children. This fund is prepared as a separate account and is not consolidated within these accounts. The Client Funds Account is attached at Annex A. 4 Department for Communities Annual Report & Accounts (2018–2019)4 • The Northern Ireland Central Investment Fund for Charities into which NI charities invest funds. The Department pays dividends twice yearly and invests the capital of the Charitable Donations and Bequests Fund. These funds are not consolidated within these accounts as no Departmental funds are involved. Public Bodies Outside our Accounting Boundary In fulfilling its role, DfC currently has responsibility for 15 Non-Departmental Public Bodies (NDPBs) that sit outside its accounting boundary. These are: Executive Non-Departmental Bodies (NDPBs) Executive NDPBs are those with executive, administrative, commercial or regulatory functions. They carry out set functions within a government framework, but the degree of operational independence varies. DfC Bodies and their activities: Armagh Observatory and Planetarium To advance the knowledge and understanding of astronomy and related sciences through the execution, promotion and dissemination of astronomical research nationally and internationally in order to enrich the intellectual, economic, social and cultural life of the community. Arts Council of Northern Ireland To develop and improve the knowledge, appreciation and practice of the arts, increase public access to and participation in the arts, to advise the Department and other government departments, district councils and other bodies on matters related to the arts. Commissioner for Older People for Northern Ireland To champion the rights and interest of older people in Northern Ireland. The Commissioner has promotional, advisory and educational and general investigatory powers and duties. Charity Commission for Northern Ireland To provide an integrated system of registration and regulation of charities in Northern Ireland and supervision and support of registered charities. Department5 for Communities Annual Report & Accounts (2018–2019) 5 Local Government Staff Commission (LGSC) To exercise general oversight of matters connected with the recruitment, training and employment of officers of councils and the NI Housing Executive. The NI Executive agreed that the LGSC should be dissolved on 31 March 2017. However this timetable was not achieved and the intention now is to dissolve the body as soon as the consultation and Assembly process allows. Museums and Galleries NI (known as National Museums Northern Ireland) To care for, preserve and add to collections, ensure that the collections are available to the public through exhibitions, effective interpretation, research and study, promote awareness and appreciation and understanding of art history and science, the way of life and traditions of people. Northern Ireland Library Authority (known as Libraries Northern Ireland) To provide a comprehensive and efficient public library service for persons living, working or studying in Northern Ireland. The NI Museums Council To support local and regional museums in Northern Ireland and maintain and improve the standards of collections care and service to the public. The NI Local Government Officers’ Superannuation Committee (NILGOSC) To administer a fund
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