TVCA to ask auditors to reduce £400k fee

THE Tees Valley Combined Authority is to write to its auditors, seeking areduction in the £400,000 fee as the combined authority's 2024/25 accounts are set to be disclaimed once again.

- By DANIEL HODGSON

The latest move was announced by Tees Valley Conservative Mayor Ben Houchen, during his monthly appearance on BBC Radio Tees on Wednesday, October 1.

The development is in stark contrast to the disclaimed opinion from 2023/24, where TVCA took responsibility for issues with their accounts.

The combined authority sees its accounts checked by Ernst and Young (EY), who intended to issue a disclaimed opinion for the year 2023/24, although the February 2025 deadline was missed due to TVCA not complying with its statutory reporting obligations.

In May this year, TVCA Cabinet met to discuss a letter from EY that criticised the combined authority, and the recommendations that came from it. At the meeting, Tom Bryant, chief executive of TVCA said: “We absolutely recognise the significance of this letter, and we fully accept the recommendations.”

For 2024/25 however, the blame has been laid at EY's feet by the regional mayor. EY did not respond to requests for comment, although they have said previously in a letter to TVCA that delayed completion of the 2023/24 audit has had a knock on effect for 2024/25, citing “limited engagement” from TVCA.

In relation to the 2024/25 accounts, Mayor Houchen explained how accounts in the public sector had to be externally audited and highlighted the “huge” problem in the audit sector, where public bodies have had accounts disclaimed.