We considered relevant changes in accounting and auditing requirements for 2025/26 and 2026/27. We found insufficient evidence to support a sector-wide scale-fee adjustment for these changes. Some changes, including IFRS 16 and ISA (UK) 600, may affect individual bodies differently and may result in fee variations where additional audit work is required. Once sufficient evidence is available to demonstrate a recurring and quantifiable impact, the LAO may wish to consider how such costs should be reflected within its future fee regime.
