PSAA has published the 2021/22 audit fee scale, following consultation.
The fee scale sets out the scale of fees for the audit work to be undertaken by appointed auditors in respect of the 2021/22 financial statements at relevant principal authorities that have opted into PSAA’s national auditor appointment arrangements.
Auditors will undertake their work under the requirements of the Code of Audit Practice and supporting guidance published by the National Audit Office on behalf of the Comptroller and Auditor General, the financial reporting requirements set out in the Code of Practice on Local Authority Accounting published by CIPFA/LASAAC, and the professional standards applicable to auditors’ work.
Audit appointments and scale fees for individual audited bodies are available here: list of auditor appointments and scale fees
The consultation explained the impact on audit fees of the significant tensions and pressures currently in the audit market and profession. It also set out the practical difficulties for PSAA in setting a realistic fee scale before the start of the relevant financial year, as required under current regulations. Helpfully, MHCLG has announced its intention to consult on proposed amendments to the relevant regulations. Additionally, the Department is expected to make further announcements in relation to its response to the Redmond Review in Spring 2021.
We are very grateful for all the responses to our consultation on the fee scale, which have provided very helpful feedback on our proposals. The PSAA Board has reflected on the consultation outcome and takes very seriously all the points made. Some of the matters raised are complex and extend beyond PSAA’s own remit. Nevertheless, we will continue to work closely with other responsible bodies in the local audit system to try to develop solutions as part of a more resilient, sustainable system.