Proposals published to reform audit of parish councils

Proposals published to reform audit of parish councils

The audit regime for parish councils is 'unsustainable' according to the Audit Connission which has set out proposals for reform in a new document.

The paper intends to ‘stimulate debate’ over the issue of auditing of small local authorities an puts forward a number of ideas for discussion, some of which are likely to prove controversial.

Among the ideas on the table are introducing a ‘lighter touch’ regime that might exempt some local councils from audit completely; raising the audit fee to reflect the real costs involved in audit or relaxing the Accounts and Audit Regulations.

Perhaps the most controversial idea is changing the model of audit supply by creating a monopoly or bringing in new suppliers.

The Big Firms, especially KPMG, have long argued that not enough of the audit market from the Commission is open to them, though they are unlikely to want to commit to might be small amounts of work.

Martin Evans, director of policy at the Commissiion, said:’Local councils as well as the Audit Commission and its auditors now consider that the present audit regime is unsustainable.

‘The aim of this paper is to stimulate a debate on the changes necessary to improve the audit process for both local councils and auditors alike.’Responses to the Commission’s discussion paper, The Audit of Parish, Town and Community Councils, have to be with the Commission 30 September and comes as the first in a series of so-called think pieces intended to open up debate on a number of issues.

Audits open to smaller firms

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource