What is PSAA doing alongside other local audit stakeholders to help design and implement a system which is more stable, more resilient, and more sustainable?

We continue to work closely with a range of local audit stakeholders including DLUHC, the FRC, the NAO, CIPFA, ICAEW and the LGA to help identify and develop further initiatives to strengthen the local audit. Our e-bulletins provide details of recent developments.

The government set out its approach to local audit in its Strategy for Local Audit Reform in December 2024 and provided further details in the outcome to its consultation  published in April 2025. The reforms set out a clear purpose for local audit and its users, including proposals for simplified and proportionate financial reporting, improvements to the market’s capacity and capability, and ways to build strong relationships between local bodies and auditors. The government will also establish a new arms-length body, the Local Audit Office (LAO), which will combine functions from across the system and oversee local audit.