The Local Audit and Accountability Act 2014 requires that firms and individuals must be authorised to undertake the audits of the bodies specified in the legislation. This is managed by ICAEW, which maintains a register of approved firms and individuals.
For organisations that have opted into the PSAA arrangements, PSAA acts as the appointing person and is responsible for appointing the auditor. Those bodies that do not opt in are restricted to the same list of authorised firms that PSAA is able to contract with.