London Borough of Camden – Statement of Accounts 2009/10
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London Borough of Camden – Statement of Accounts 2009/10 LONDON BOROUGH OF CAMDEN STATEMENT OF ACCOUNTS 2009/10 Contents Page Statement of Responsibilities for the Statement of Accounts 2 Independent Auditors’ Report to Camden London Borough Council 3 Foreword by the Director of Finance 6 Annual Governance Statement 14 Statement of Accounting Policies 18 Income and Expenditure Account 25 Statement of Movement on the General Fund Balance 26 Statement of Total Recognised Gains and Losses 27 Balance Sheet 28 Cash Flow Statement 30 Notes to: The Income and Expenditure Account 31 The Statement of Movement on the General Fund Balance 47 The Balance Sheet 48 The Cash Flow Statement 83 Housing Revenue Account Income and Expenditure Account 89 Statement of Movement on the Housing Revenue Account Balance 90 Notes to the Housing Revenue Account Income and Expenditure Account 91 Note to the Statement of Movement on the Housing Revenue Account Balance 93 Collection Fund Revenue Account 94 Notes to the Collection Fund 95 Pension Fund and Notes to the Pension Fund 98 Glossary of Financial Terms and Abbreviations 108 1 London Borough of Camden – Statement of Accounts 2009/10 Statement of Responsibilities for the Statement of Accounts The Council's Responsibilities The Council is required: to make arrangements for the proper administration of its financial affairs and to secure that one of its officers has the responsibility for the administration of those affairs as the Chief Finance Officer. At Camden, that officer is the Director of Finance; to manage its affairs to secure economic, efficient and effective use of resources and safeguard its assets; to approve the Statement of Accounts. The Chief Finance Officer’s Responsibilities The Chief Financial Officer is responsible for the preparation of the authority’s Statement of Accounts in accordance with proper practices as set out in the CIPFA/LASAAC Code of Practice on Local Authority Accounting in the United Kingdom (the SORP). In preparing this Statement of Accounts, the Chief Financial Officer has: selected suitable accounting policies and applied them consistently; made judgements and estimates that were reasonable and prudent; complied with the local authority SORP. The Chief Finance Officer has also: kept proper accounting records which were up to date; taken reasonable steps for the prevention and detection of fraud and other irregularities. 2 London Borough of Camden – Statement of Accounts 2009/10 Independent auditor’s report to the Members of the London Borough of Camden Opinion on the Authority's accounting statements effectiveness of the Authority’s corporate governance procedures or its risk and control procedures. I have audited the accounting statements and related notes of the London Borough of Camden for the year I read other information published with the Authority ended 31 March 2010 under the Audit Commission Act accounting statements, and consider whether it is 1998. The accounting statements comprise the Income consistent with the audited Authority accounting and Expenditure Account, the Statement of the statements. This other information comprises the Movement on the General Fund Balance, the Balance Foreword by the Director of Finance. I consider the Sheet, the Statement of Total Recognised Gains and implications for my report if I become aware of any Losses, the Cash Flow Statement, the Housing apparent misstatements or material inconsistencies Revenue Account, the Statement of Movement on the with the Authority accounting statements. My Housing Revenue Account, the Collection Fund and the responsibilities do not extend to any other related notes. The accounting statements have been information. prepared under the accounting policies set out in the Statement of Accounting Policies. Basis of audit opinion This report is made solely to the members of the London I conducted my audit in accordance with the Audit Borough of Camden in accordance with Part II of the Commission Act 1998, the Code of Audit Practice Audit Commission Act 1998 and for no other purpose, issued by the Audit Commission and International as set out in paragraph 49 of the Statement of Standards on Auditing (UK and Ireland) issued by the Responsibilities of Auditors and of Audited Bodies Auditing Practices Board. An audit includes published by the Audit Commission in April 2008. examination, on a test basis, of evidence relevant to the amounts and disclosures in the accounting Respective responsibilities of the Director of statements and related notes. It also includes an Finance and auditor assessment of the significant estimates and judgments made by the Authority in the preparation of The Director of Finance's responsibilities for preparing the accounting statements and related notes, and of the accounting statements in accordance with relevant whether the accounting policies are appropriate to the legal and regulatory requirements and the Code of Authority’s circumstances, consistently applied and Practice on Local Authority Accounting in the United adequately disclosed. Kingdom 2009: A Statement of Recommended Practice are set out in the Statement of Responsibilities for the I planned and performed my audit so as to obtain all Statement of Accounts. the information and explanations which I considered necessary in order to provide me with sufficient My responsibility is to audit the accounting statements evidence to give reasonable assurance that the and related notes in accordance with relevant legal and accounting statements and related notes are free regulatory requirements and International Standards on from material misstatement, whether caused by fraud Auditing (UK and Ireland). or other irregularity or error. In forming my opinion I also evaluated the overall adequacy of the I report to you my opinion as to whether the accounting presentation of information in the accounting statements give a true and fair view, in accordance with statements and related notes. relevant legal and regulatory requirements and the Code of Practice on Local Authority Accounting in the United Opinion Kingdom 2009: A Statement of Recommended Practice, of the financial position of the Authority and its income In my opinion the Authority's accounting statements and expenditure for the year. give a true and fair view, in accordance with relevant legal and regulatory requirements and the Code of I review whether the governance statement reflects Practice on Local Authority Accounting in the United compliance with ‘Delivering Good Governance in Local Kingdom 2009: A Statement of Recommended Government: A Framework’ published by Practice, of the financial position of the Authority as at CIPFA/SOLACE in June 2007. I report if it does not 31 March 2010 and its income and expenditure for comply with proper practices specified by the year then ended. CIPFA/SOLACE or if the statement is misleading or inconsistent with other information I am aware of from my audit of the accounting statements. I am not required to consider, nor have I considered, whether the governance statement covers all risks and controls. Neither am I required to form an opinion on the 3 London Borough of Camden – Statement of Accounts 2009/10 Opinion on the pension fund accounting statements Practices Board. An audit includes examination, on a test basis, of evidence relevant to the amounts and I have audited the pension fund accounting statements disclosures in the pension fund accounts and related for the year ended 31 March 2010 under the Audit notes. It also includes an assessment of the Commission Act 1998. The pension fund accounting significant estimates and judgments made by the statements comprise the Fund Account, the Net Assets Authority in the preparation of the pension fund Statement and the related notes. The pension fund accounting statements and related notes, and of accounting statements have been prepared under the whether the accounting policies are appropriate to the accounting policies set out in the Statement of Authority’s circumstances, consistently applied and Accounting Policies. adequately disclosed. This report is made solely to the members of the London I planned and performed my audit so as to obtain all Borough of Camden in accordance with Part II of the the information and explanations which I considered Audit Commission Act 1998 and for no other purpose, necessary in order to provide me with sufficient as set out in paragraph 49 of the Statement of evidence to give reasonable assurance that the Responsibilities of Auditors and of Audited Bodies pension fund accounts and related notes are free published by the Audit Commission in April 2008. from material misstatement, whether caused by fraud or other irregularity or error. In forming my opinion I Respective responsibilities of the Director of also evaluated the overall adequacy of the Finance and auditor presentation of information in the pension fund accounting statements and related notes. The Director of Finance's responsibilities for preparing the pension fund accounting statements, in accordance Opinion with relevant legal and regulatory requirements and the Code of Practice on Local Authority Accounting in the In my opinion the pension fund accounting statements United Kingdom 2009: A Statement of Recommended and related notes give a true and fair view, in Practice are set out in the Statement of Responsibilities accordance with the Code of Practice on Local for the Statement of Accounts. Authority Accounting in the United Kingdom 2009: A Statement of Recommended