First auditors of new London government bodies named.

The move follows District Audit’s appointment as auditor of the new Greater London Authority.

The public sector auditing body was recently confirmed as the auditor of the GLA by members of the London assembly, but Kidsons and KPMG remain only ‘proposed’ auditors for the new functional bodies of the authority.

It is understood Kidsons is in line to get the contract for the London Development Agency, and possibly the London Fire and Emergency Planning Authority, while KPMG will assist the District Audit as auditors to the Metropolitan Police Authority.

Although the Audit Commission has proposed the appointments they will not be confirmed until the new bodies come into legal existence later this year when their members can vote on an endorsement.

The Audit Commission is treating selection of auditors as straight appointments and has not invited tenders for the work.

However, given the level of publicity surrounding the new London authority, the contracts are bound to be viewed within the profession as prestigious and high profile.

The firms and District Audit will act as key financial advisors to the new tiers of London government and the capital’s new major, Ken Livingstone.

Full details of the audit arrangements have yet to emerge but Andrew Foster, head of the Audit Commission, has said that ‘experimental’ arrangements may be used for the new authority.

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