The Christie NHS FT Annual Report & Accounts 2019-20

Directors’ Report

Committees of the board

Audit committee The audit committee uses the work of the auditors to provide the board of directors with an independent and objective review of how the foundation trust manages its finances, how it is structured to deliver its strategy and how it manages its risks. The committee was chaired throughout the year by Neil Large, non-executive director. Non-executive attendance at assurance committees is split between the audit and quality assurance committees (the Chairman of the Trust cannot be a member of the audit committee so attends the quality assurance committee). The other members of the audit committee are Kathryn Riddle and Robert Ainsworth. The committee receives reports, scrutinises the findings, makes recommendations on requirements and follows up on actions taken. Key activities during the year were: − reviewing the Trust’s annual report, financial statements, quality of costing & coding and quality accounts − receiving and acting upon the annual governance report from the external auditor − monitoring the board assurance framework − approving the corporate governance documents of the Trust − receiving reports from the internal auditor including counter fraud Internal audit – i nternal audit is a cornerstone of good governance. Boards need timely and relevant assurance and look to internal audit to support that objective. O ur internal auditor, Mersey Internal Audit Agency (MIAA), produces a plan of audits to be undertaken during the year. These are reviewed by the audit committee; additional audits can be added to the plan if required. Where further assurance is needed the relevant manager attends the committee and reports on actions to address any identified risks.

MIAA has a programme of follow-up audits which ensure recommendations to address identified risks are implemented. External audit - an external audit is an independent examination of the annual financial statements of the foundation trust in accordance with specific rules. The external auditor performs the audit by examining and testing the information prepared by the foundation trust to support the figures and information it includes in its financial statements. The external auditor is appointed by the council of governors. Grant Thornton was appointed as our external audit provider in September 2017 for an initial period of 3 years. The effectiveness of the external audit process is assessed through regular reports to the committee as well as regular contact with the senior finance team. The annual financial statements are presented to the committee. Areas of significance are accounting for the trust joint ventures, fixed asset transactions, adherence to key accounting standards and the presentation of the group accounts to include The Christie Pharmacy and The Christie Charity. The audit committee annual report is available on our website under Trust publications (what our priorities are and how we are doing). Quality assurance committee The role of the quality assurance committee is to provide independent assurance to the board of directors that The Christie NHS Foundation Trust is properly governed and well managed across the full range of activities and to provide internal and external assurance relating to quality by reviewing the establishment and maintenance of effective systems of governance, risk management and internal control. The committee is chaired by Professor Kieran Walshe, non-executive director, and comprises 3 other

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