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Tewkesbury Town Council's internal auditor's report for the year ended 31 March 2019, audited on 4 June 2019 by Ruth Warne, identified several areas of compliance and non-compliance with requirements.

The council's Standing Orders were adopted in 2017 but need to be updated to reflect the 2018 National Association of Local Councils (NALC) changes. Financial Regulations were adopted in 2017 but not reviewed or minuted.

The council has a grant awarding policy, and a well-structured grant application form is available on the website. However, the policy may need to be reviewed.

The council maintains an adequate system of internal control, including risk management, which is reviewed annually. The code of conduct was adopted in 2015.

In terms of administration, the General Power of Competence was adopted in 2018, and the precept demand was properly minuted. Petty cash expenditure is approved, and receipts are issued for cash income.

The council has an insurance policy in place, which was reviewed in 2018, and a Risk Management policy/statement is available. An asset register is maintained and up to date.

However, some areas require improvement, including the review of investments, the application of the 'two councillor signatures' rule for payment orders, and the use of credit/debit/prepaid cards.

The council's budgetary controls are in place, with a budget adopted and minuted, and objectives of reserves identified. However, the overall level of reserves is low, and the council may need to review its earmarked reserves.

The council regularly compares actual income and expenditure to the budget, but statements of income and expenditure are not attached to minutes. Significant unexplained variances from the budget are not minuted, but the Clerk was able to explain all variances.

All staff have contracts of employment, and payroll procedures are in place.

Recommendations include adopting updated Standing Orders, reviewing Financial Regulations, increasing earmarked reserves, attaching statements of income and expenditure to minutes, and implementing proper procedures for credit/debit/prepaid cards.