Source · Select Committees · Public Accounts Committee
Recommendation 10
10
High-quality audits of local authority financial statements are important to assure taxpayers, stakeholders, and users...
Conclusion
High-quality audits of local authority financial statements are important to assure taxpayers, stakeholders, and users of the accounts, that local authority accounts have been properly prepared, and to maintain trust in audited accounts.21 The FRC is the independent body responsible for monitoring the quality of major local authority audits. The Institute of Chartered Accountants in England & Wales (ICAEW) monitors the quality of other local audits.22 In October 2020, the FRC raised concerns over the quality of local audit. It found that just 40% of audits required no more than limited improvement, down from 64% in 2018–19.23