Annex Key requirements of the management and control systems and their classification with regard to their effective functioningF1
United Kingdom
Table 1
Key requirements
| Key requirements of the management and control systems | Bodies/authorities concerned | Scope | |
|---|---|---|---|
| 1 | Adequate description and separation of functions and adequate systems for reporting and monitoring where the Responsible Authority entrusts execution of tasks to another body | Responsible Authority/Delegated Authority | Internal environment |
| 2 | Appropriate selection of projects | Responsible Authority/Delegated Authority | Control activities |
| 3 | Adequate information to beneficiaries, potential beneficiaries and the public | Responsible Authority/Delegated Authority | Internal information and communication |
| 4 | Adequate controls | Responsible Authority/Delegated Authority | Control activities |
| 5 | Effective systems and procedures to ensure that all the documents regarding expenditure and controls are held to ensure an adequate audit trail | Responsible Authority/Delegated Authority | Control activities |
| 6 | Reliable computerised systems for accounting, for the storage and transmission of financial data and data on indicators, for monitoring and for reporting | Responsible Authority/Delegated Authority | Control activities/Internal information and communication |
| 7 | Effective implementation of procedures for the prevention, detection and correction of irregularities including proportionate anti-fraud measures | Responsible Authority/Delegated Authority | Control activities |
| 8 | Appropriate procedures for drawing up the annual accounts, the management declaration and the annual summary of final audit reports and of controls carried out | Responsible Authority/Delegated Authority | Control activities |
| 9 | Appropriate and complete account of amounts recoverable, recovered and cancelled | Responsible Authority/Delegated Authority | Control activities |
| 10 | Adequate description and separation of functions, functional independence from the Responsible Authority and adequate systems for ensuring that any other body that carries out audits has the necessary functional independence and takes accounts of internationally accepted audit standards | Audit Authority | Internal environment |
| 11 | Adequate system audits | Audit Authority | Control activities |
| 12 | Adequate audits of expenditure | Audit Authority | Control activities |
| 13 | Adequate audits of accounts | Audit Authority | Control activities |
| 14 | Adequate procedures for providing reliable audit opinions and audit reports | Audit Authority | Control activities |
Table 2
Classification of key requirements for the management and control systems with regard to their functioning
| Category 1 | Works well. No, or only minor improvement(s) needed |
| Category 2 | Works. Some improvement(s) needed |
| Category 3 | Works partially. Substantial improvements needed |
| Category 4 | Essentially does not work |