CLG guidance for smaller councils – future audit requirements
CLG has now published some formal guidance on the future audit requirements for smaller local councils. This can be viewed here – DCLG Guide – future audit requirements for smaller local councils
Initially, very little will change. Note that smaller authorities will keep the external auditor appointed by the Audit Commission until the 2016/17 audit process has been completed.
The Audit Commission will close on 31 March 2015. From 1 April 2015, responsibility for making auditor appointments and setting audit fees will transfer to a new company, Public Sector Audit Appointments Limited. This new company will undertake these functions until the current contracts with audit firms expire – currently expected to be after the completion of the 2016/17 audits.
Some Audit Commission staff will transfer to the new company to ensure continuity.