Yes, PSAA has reduced scale fees where changes in circumstances have reduced the level of recurring audit work required. Examples include where a group entity has been brought back in-house, or where a PFI scheme has ended.
Our objective is for scale fees to reflect the audit work expected to be required. Changes in circumstances may therefore result in either increases or reductions over time.
When setting scale fees, we consider approved fee variations and other relevant information about changes in recurring audit work. Where a reduction in audit work becomes apparent after the scale fee has been set, it may be addressed through a negative fee variation.