Lancashire Combined Fire Authority

Audit Committee

Meeting to be held on 16 July 2025

External Audit – Understanding How the Audit Committee Gains Assurance from Management

(Appendix 1 refers)

Contact for further information:

Steven Brown - Director of Corporate Services – Telephone Number 01772 826804

Executive Summary

In order to comply with International Auditing Standards, the External Auditors, Grant Thornton, need to establish an understanding of the management processes in place to prevent and detect fraud and to ensure compliance with laws and regulations. They are also required to make inquiries of both management and those charged with governance as to their knowledge of any actual, suspected or alleged fraud.

International Auditing Standards also place certain obligations on auditors to document Management's view on some key areas affecting the financial statements.

In addition to the request to management, they also will need to gain an understanding of how those charged with governance maintain oversight of the above processes.

As such the auditors have written to management (the Executive Board) requesting the relevant information. A response has been prepared by the Executive Board, attached as Appendix 1.

Decision Required

The Committee are asked to note and endorse the response submitted by the Executive Board.

Information

As stated in the Executive Summary

Financial Implications

None

Legal Implications

None

Business Risk Implications

None

Environmental Impact

None

Equality and Diversity Implications

None

Human Resource Implications

None

Local Government (Access to Information) Act 1985

List of background papers

N/a

Appendix 1: Enquiries of Management