GMB Magazine GMB25 Fusion Summer 2016 - Page 20

NATIONAL UPDATE GMB’S ANNUAL STATEMENT AND AUDIT from GMB All the news The following is reprinted from the Annual Return (AR21): Report of the Auditors to the Members of the GMB Statement of Central Executive Council’s responsibilities The legislation relating to trade unions requires the CEC to submit a return for each calendar year to the Certification Office for Trade Unions and Employers’ Associations. This return contains financial statements which must give a true and fair view of the state of affairs of the Union at the year end and of its transactions for the year then ended. The financial statements set out on the preceding pages have been prepared on the same basis and are used to complete the return to the Certification Office for Trade Unions and Employers’ Associations. In relation to the Union these requirements are the responsibility of the CEC. It is responsible for preparing the financial statements of the Union and in so doing is required to: • Select suitable accounting policies and then apply them consistently • Make judgements and estimates that are reasonable and prudent • State whether applicable accounting standards have been followed • Prepare the accounts on the going concern basis unless it is inappropriate to do so. The CEC is responsible for keeping proper accounting records and establishing and maintaining a satisfactory system of control over its records and transactions in order to comply with the Trade Union and Labour Relations (Consolidation) Act 1992. It is responsible for safeguarding the assets of the Union and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The CEC is also responsible for the maintenance and integrity of the corporate and financial information included on the Union’s website. Legislation in the United Kingdom governing the preparation and dissemination of accounts may differ from legislation in other jurisdictions. Report of the General Member Auditors We have examined the financial statements in accordance with Rule. A Burgin General Member Auditors J Swainson Independent Auditors’ Report to the Members of the GMB We have audited the financial statements of the GMB for the year ended 31 December 2015 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Cash Flow Statement and the related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). This report is made solely to the Union’s members, as a body, in accordance with the Trade Union and Labour Relations (Consolidation) Act 1992. Our audit work has been undertaken so that we might state to the Union’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Union and the Union’s members as a body, for our audit work, for this report, or for the opinions we have formed. Respective Responsibilities of the GMB’s Central Executive Council and Auditor As explained more fully in the Statement of Central Executive Council’s (CEC) Responsibilities, the CEC is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board’s Ethical Standards for Auditors. Scope of the Audit of the Financial Statements An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or error. This includes an assessment of: whether the accounting policies are appropriate to the Union’s circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant accounting estimates made by the CEC; and the overall presentation of the financial statements. In addition, we read all the financial and non-financial information in the General Secretary’s Introduction to identify material inconsistencies with the audited financial statements and to identify any information that is apparently materially incorrect based on, or materially inconsistent with, the knowledge acquired by us in the course of performing our audit. If we become aware of any apparent material misstatements or inconsistencies we consider the implications for our report. Opinion on Financial Statements In our opinion the financial statements: • Give a true and fair view of the state of the Union’s affairs as at 31 December 2015 and of its surplus for the year then ended; • Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and • Have been prepared in accordance with the requirements of the Trade Union and Labour Relations (Consolidation) Act 1992. Matters on Which we are Requ