Remit of Audit & Risk Committee

Terms of Reference 

1.  To recommend to the Court the appointment of external and internal auditors and to monitor their performance.

2.  To recommend to the Court audit fees and any matters arising from the resignation or dismissal of the external or internal auditors.

3.  To review the annual financial statements prior to submission to the Court, and to make appropriate recommendations to Court in parallel with the Finance & Commercialisation Committee.

4.  To review the external auditors’ management letter and the management response, discuss with the external auditors any matters arising from the audit, and report to Court as appropriate.

5.  To commission periodic business risk and audit needs assessments and to agree with the auditors before the audit programme commences each year the nature and scope of the audits to be conducted.

6.  To review the scope of the internal audit programme, comment on its effectiveness, ensure proper co-ordination between the internal and external auditors, and confirm that the internal audit function is adequately resourced.

7.  To receive a summary of key matters arising from internal control reports and the resulting recommendations, consider the management response and ensure that appropriate action is taken.

8.  To review and report to the Court at least annually on the procedures adopted for ensuring the adequacy and effectiveness of financial, and other internal control systems.

9.  To review and advise the Court on the adequacy and effectiveness of risk management arrangements.

10. To consider the procedures adopted by the University to secure value for money and to determine topics for inclusion in any programme of value for money reviews.

11. Periodically to review the Schedule of Delegated Authority, and to advise the Court on the adequacy of that Schedule.

12. To review the contents and advise the Court of the impact of reports issued by relevant bodies including the Scottish Funding Council, Audit Scotland and the National Audit Office.

13. To consider such other topics as may be remitted by the Court from time to time.

Quorum

The Quorum shall be two members.

Frequency of Meetings

Four times per year: September, November, March and May.

Reporting Requirements

The Court must receive a Report of each meeting and an annual report summarising the work of the Committee, normally in November of each year.

The Audit & Risk Committee is also required to confirm (in parallel with the Finance & Property Committee) that the Court can approve the Annual Report and Accounts each year. To facilitate this the Convenor of F&PC will be “in attendance” at Audit Committee for the item where the Report and Accounts are discussed to enable any matters identified by F&PC to be highlighted and discussed.

Notes

The members of the Audit & Risk Committee will meet privately with the Internal and External Auditors at least once per annum. References to risk are deemed to include “reputational” risk.

Risk management itself is NOT the responsibility solely of the Audit & Risk Committee. Each committee remains responsible for ensuring that the University has arrangements in place to identify, monitor and manage effectively the key risks relevant to those committees.

The members of any sub-panels established by the Committee to manage the appointment process for external or internal auditors will themselves be members of the Audit & Risk Committee. Such appointment panels will normally be chaired by the Convenor. The Convenor shall determine the extent to which any university officers are involved in any part of the process. Officers may be invited to attend panel meetings and advise panel members, but may not themselves be members of these panels.