We review and determine firms’ audit fee proposals in accordance with 17(2) of the Local Audit (Appointing Person) Regulations. Our work includes looking in detail at the fee variation submitted to assess whether we consider them to be appropriate. When making determinations we consider each individual fee variation and compare similar fee variations across all audit firms. Where appropriate we make adjustments having followed our process.
For disclaimed audit opinions, we have reviewed each firms’ audit procedures to issue them. The firms were statutorily obliged to take into account the Local Audit Reset and Recovery Implementation Guidance (LARRIGs) issued in September 2024 by the National Audit Office and endorsed by the Financial Reporting Council, and Ministerial statements had stated that they would be paid for work that they did in good faith to deliver what was needed to meet the requirements of the Code of Audit Practice.