Page 42 - RFU Annual Report 2018

4 CORPORATE GOVERNANCE

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GROUP AUDIT COMMITTEE: > Risk Management and Internal In addition, the Committee received a
(CONTINUED) Control arrangements number of deep dive presentations from
The Committee reviewed the RFU’s management including:
The following recurring judgements and overall approach to risk management
estimates were also discussed by the and control, and its processes and Unofficial hospitality – the Committee
Committee: related outcomes. discussed the work undertaken by the
RFU to police the unofficial ticket and
Investment property valuations Sources of assurance to the Audit hospitality market and the potential
Professional Game Agreement Committee of the effectiveness of risk sanctions against individuals and
Artificial grass pitches management and internal controls clubs who breach RFU terms and
procedures were: conditions.
For each of the above areas the
Committee considered the key facts and Internal audit – the Audit Committee Betting integrity – the Committee
judgements outlined by management. approved the internal audit plan discussed the RFU’s betting integrity
Members of management attended the and received reports in the year strategy and the work done by the
meeting to answer questions posed by on a number of topics including RFU to educate players and other
the Committee. The issues were also safeguarding, the East Stand project individuals associated with the game
discussed with the external auditors. and purchase to pay, sales to cash and about the risks in this area.
The Committee was satisfied that there the month end finance process.
are appropriate accounting policies in Safeguarding – the Committee
place in relation to these significant External reports – external reports discussed the RFU’s approach to
issues and management have correctly were submitted on East Stand project safeguarding in three areas; policy,
applied these policies. governance and health and safety. reporting and in the field. There is
significant focus in this area including
The Committee also considered whether Management updates – papers and provision of online training to enable
a fair representation of the key risks and verbal updates were submitted on clubs and volunteers to understand
uncertainties to the business had been a range of issues, including whistle- and fulfil their obligations.
included in the Annual Report. blowing and speak-up policies, claims
and litigation, risk and contract Health and safety – the Committee
Finally, the Committee undertook management and Criminal Finances received an independent report on
a review of the appropriateness of Act 2017. Health & Safety for Twickenham
adopting the going concern basis of Stadium and discussed the findings of
accounting in preparing the annual GDPR – the Committee monitored that report and the necessary remedial
financial statements. The Committee progress against the plan for the RFU actions being taken. The Committee
reviewed the cash flow projections for to become compliant with the new also discussed the processes in place
the RFU, including sensitivity analysis General Data Protection Regulation for governance of Health and Safety to
and concluded that there is reasonable (EU) 2016/679 that came into effect in ensure that management and Board
expectation that the RFU will have May 2018. are aware of issues and actions being
sufficient cash to continue in operation taken.
and meet its liabilities as they fall due for
at least the next 12 months. In fulfilling its responsibilities in relation
to risk management, internal control and
the financial statements, the Committee
met regularly with senior members of
management and ensured the internal
audit assurance reviews addressed key
areas of risk.

Annual
Report
2018