YouSaid · the spoken record
Miatta Fahnbulleh
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On the record 2024–2026
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“That is why our high streets are front and centre of our growth mission, and why we are committed to driving their renewal. I ask everyone in the House to remember the record and the legacy of the Conservatives, who are holding this debate pretending that they really care. For 14 years, our high streets were decimated, shops were boarded up and people in all our communities saw the impact of the Conservatives’ actions.”
House of Commons4 November 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“We understand the pressure that businesses are under with energy, but it is driven by our dependence on global fossil fuel markets. We can do sticking-plaster or short-term fixes, or we can deal with the fundamental problem. We are pushing towards clean power, because that is how we ultimately drive down bills. That is not an offer to do so in 10 or 20 years; we are committed to driving down bills in this Parliament, and we will not resile from that. Labour Members agree that our high streets will always be at the heart of our communities, and we welcome the cross-party agreement on that. Unless we grow the economy and put more money in people’s pockets, however, our high streets will never match local people’s ambition.”
House of Commons4 November 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“My hon. Friend is completely right—7,000 pubs. Statistic after statistic speaks to the Conservatives’ failure, so rather than being smug and providing fake solutions, they should be far more humble about the state in which they have left our communities. It is now on this Labour Government to fix the mess they left behind.”
House of Commons4 November 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“When I spoke last week on why clause 60 should stand part of the Bill, I covered the provisions in the schedule, but I will restate my position. The schedule strengthens the existing assets of community value scheme in England and will give communities real power to take ownership of cherished local assets. Together with clause 60, the schedule is vital to delivering the Bill’s community empowerment goals and protecting assets at the heart of our local communities.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“There are already well-established legal mechanisms for the acquisition of land without the consent of the landowner—I refer again to the existing compulsory purchase order powers. Local authorities can use those powers on behalf of community groups or parish councils to acquire sporting assets of community value that are derelict, mismanaged or inaccessible.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“For example, under section 215 of the Town and Country Planning Act 1990, local authorities can take steps to clear up land and buildings whose condition adversely affects the amenity of the area, and we are refreshing the guidance to ensure that local authorities can make full use of those existing powers. For that reason, I do not think that new clause 12 is necessary, and I ask the hon. Member for Stratford-on-Avon not to press it to a vote. Regarding new clause 20, it is really important to make it clear that the purpose of this policy is not to compel landowners to sell their property without first disclosing an intent to sell under proposed new section 86M of the Localism Act 2011.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“I completely agree with the importance of protecting community assets from unscrupulous owners, but it is not clear that new clause 12 is wholly necessary or appropriate, and I am worried that it would place an unreasonable burden on local authorities by requiring them to monitor the management of all assets of community value in their area. The substantive provision of the new clause gives local authorities the power to intervene and take on assets of community value, but those intervention powers already exist where land has been neglected or mismanaged.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“I completely agree that the community right to buy is about putting power into communities, but the new clauses would require local authorities to enable and facilitate. My point is that, in the instances where we need a local authority to step in, support and enable, there are existing powers to do that. We want communities to have the right of first refusal, and that is why we are including this provision. We want them to be able to designate vital local assets as being of community value, and combined with existing CPO powers, our view is that this provides the right set of provisions to ensure that the system works, and that it works in the interests of communities.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“But that amendment is not mine, so I will speak to it later.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Member for Stratford-on-Avon has highlighted through new clause 52, and we have put in place a suite of things that will fundamentally get to the heart of that problem, which we know all our communities despair of and hate. I ask the hon. Member to withdraw the new clause.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Section 215 of the Town and Country Planning Act 1990 sets out powers to clean up land and buildings that may be affecting the amenity of the area and encouraging poor behaviour. The community right to buy will play an important role in ensuring that assets are used in a way that is appropriate and adds value to the community. Finally, through the Crime and Policing Bill, the Government are strengthening the powers available to the police and other agencies to tackle antisocial behaviour. Every police force now has a dedicated antisocial behaviour officer to work with communities to develop an action plan and give residents a say. We recognise the problem that the hon.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Member for Stratford-on-Avon to combat antisocial behaviour and eliminate vacant and derelict properties. We all have them in our constituencies; we know how much they are hated and the blight they cast on our communities. We are absolutely committed to creating thriving places and to reversing the decline seen in many of our communities. That is why, through our £5 billion pride in place programme, we are enabling communities to play a role in driving forward. Alongside that funding, we have ensured that local authorities have access to a suite of tools to meet the challenge, which we understand and we know is real. That includes powers to auction the lease of persistently vacant high street properties via our high street rental auctions and compulsory purchase powers, which we have discussed.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“I take the hon. Member’s point. I also take the point that a process of asset transfer between authorities and town and parish councils is happening. Our judgment is that the provisions we are putting in place sit well alongside that and will enable the processes to happen, but we will keep that under review, because the end goal is to ensure that communities are able to say, “This asset really matters to us, and we want it for the use of the community,” and that we enable them to do that. As we do with any legislation, we will keep this under review ,and if it is not biting in the way that we intend, we will consider how to build and strengthen the provisions. None the less, the intent is very clear. On new clause 52, I commend and share the ambition of the hon.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“I beg to move amendment 237, in clause 61, page 62, line 20, at end insert— “(8) Subsection (9) applies to any sum received by the Office by way of penalty under— (a) paragraph 2A of Schedule 1B (penalties against external registration body), or (b) arrangements made for the purposes of paragraph 10 of Schedule 1C (penalties against registered local audit provider), including any interest. (9) The Office— (a) must pay the sum to the Secretary of State, but (b) may deduct any costs incurred by it in connection with the imposition or enforcement of the penalty, so far as those costs are not otherwise recoverable.” This amendment makes provision about the destination of penalties enabled by Amendments 238 and 240.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“However, it is vital that these levers exist to ensure that the local audit system is accountable and responsive, rather than broken, as was expressed very powerfully in our oral evidence session.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“An external registration body will be required to investigate and impose a sanction for serious breaches committed by audit providers and lead partners. The LAO will supervise any enforcement activity conducted by an external registration body. This could include setting guidelines on indicative sanctions, depending on the type of breaches, and monitoring live cases. The LAO will have the power to reclaim responsibility for any particular enforcement decision if it is considered to be in the public interest. This will ensure that the LAO is the final authority on all quality matters. An improvement-led approach will be central to the LAO’s regulatory work, and we expect that any enforcement action will be considered only as a last resort.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“These amendments contain provisions relating to criminal offences and enforcement among audit providers, lead partners and external registration bodies. It is vital that the local audit system has the right levers to deter and sanction improper behaviour and to establish beyond dispute the Local Audit Office as the regulatory authority for this system. This is about maintaining stability rather than effecting change. The amendments maintain the existing criminal offences relating to misleading statements and wrongful holding out, and set out oversight powers over professional accountancy bodies similar to existing powers. We will also retain the principle that a professional accountancy body, where recognised as an external registration body, will be responsible by default for enforcement.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Whatever the collection processes for these fines, it is right and fair that they ultimately go towards bolstering the system and ensuring that it is improving.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“I thank the hon. Member for his questions. He raised the question of CIPFA, and I committed to clarifying that in writing. I believe we have done so, but I will make sure that we come back to confirm that. On his very good point about ensuring that the penalties are not gobbled up by the central state, we are moving towards a more centralised system, whereby the LAO reports to the Secretary of State, who is then accountable to Parliament. That is the mechanism through which this will happen. However, the principle is right: if fines are imposed, they will be used to bolster the system, which we know needs huge repairs. We know that over time, as we reform the system, we will need to ensure that we are investing in it.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Part 1 establishes the requirements for the board, as proper constitution of the LAO is critical to establishing its authority, ensuring operational readiness and enabling it to deliver its objectives. Part 1 also covers other provisions that are integral to the successful set-up and operating function of the LAO. Part 2 of the schedule allows the Secretary of State to put schemes in place to legally and properly transfer employees who are currently performing functions that the LAO will be responsible for after it is established.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“It will cover a wide range of public sector bodies responsible for delivering essential services and managing public funds, as well as oversight of aspects of the NHS audit system. The LAO will be instrumental in overhauling the local audit system and will play a crucial role in ensuring that reforms are effectively implemented to provide better value for taxpayers and support economic growth. The LAO will be vital to rebuilding transparency, accountability and public trust in local government, and will restore a crucial part of the early warning system for local authorities. Schedule 28 sets out the core elements of the LAO’s constitution and governance to enable this new organisation to be established.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“The local audit system is broken. There is consensus about that across the House and within this Committee. It is fragmented and has significant capacity and capability challenges. The problems in local government reporting and the backlog of unaudited accounts have led to the disclaimed opinion on the whole of Government accounts for the past two years. This provides no assurance to Parliament, and puts public accountability and trust in the system at risk. The Government are leading the most transformative programme of audit reform in over a decade. Clause 61 will enable the Local Audit Office, a new statutory and independent body, to be established by autumn 2026. The LAO will have an oversight, regulatory and appointing role in the local audit sector.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“The LAO will have the power, through contract management and quality oversight, to monitor timeliness in the sector, and will have levers to hold firm account where audits are late. Those statutory reviews will address the accountability gap by providing a way to understand whether individual local bodies have adequately supported the audit process. We believe that those reviews are vital to restoring public accountability, providing assurance at each stage of the audit process and rebuilding our early warning system. They are an integral part of a much bigger reform that we think is both necessary and long overdue. I commend the new clause to the Committee.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“I am happy to write to clarify that key point. Everything that we are doing through these new clauses and this reform package is in order to ensure that we have a system that is fit for purpose, fair and operates so that we can build trust and accountability within public bodies at the local level. Committee members will appreciate the importance of providing certainty to the people who have worked to maintain the local audit over the years, which is why we are putting in place these two provisions. New clause 9 will provide the Secretary of State with a new power to require the LAO to conduct a review of local bodies’ financial reporting and audit arrangements.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“We do not think that the new clause will duplicate or undermine that system; it remains a core pillar. However, we hope that the new clause will ensure that we have a national framework that works across the piece, that we are contracting auditors of the highest standards and that local authorities can use the insights from those audits to make sure that they are managing their public accounts effectively. We think it is complementary and supports our existing institutions. At the moment, it feels like the national infrastructure is undermining the efforts at the local authority level.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“We are trying to ensure that there is a coherent system operating across all of local government. That is the core role that the LAO will play. The system is fragmented at the moment. There are multiple bodies, whether that is the NAO or other bodies, that are in some respects duplicating functions. The consistency and clarity that we need across our local public bodies is therefore not there. The local government accounting system will remain as it is. Through guidance, but also through practice and working with the new LAO, we will try to ensure far better alignment between the functions held by local authorities, whether that is the accounting officer role or the audit committees, and the infrastructure that we are trying to provide at a national level.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“The Secretary of State will continue to use all the available levers to ensure we have a system and an LAO that is independent when it needs to be and of the highest standard and competence. I hope the hon. Member agrees that there are sufficient safeguards in place and will withdraw the amendment.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“We do not consider that amending the language from “independently” to “wholly independent” would change that position, although I recognise that it is a small change and I understand the intent behind it. The expectation that the appointed body must possess appropriate expertise is inherent in the function itself and a statutory requirement for expertise would be unnecessarily prescriptive—it is in the practice, the guidance and the strength of the infrastructure and the institution that we are creating. The LAO will remain accountable with the Department, and there will be robust mechanisms to ensure transparency and competence. That is a big priority for us as a Department, given the state of the system that we inherited.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Let me first clarify that no decision has yet been made on who will deliver public provision. It is important to state that. The Bill is drafted deliberately to allow flexibility, whether through the Local Audit Office itself, through a company that it establishes or in collaboration with the private sector. That said, I fully agree that if the Local Audit Office does act as the audit provider, it must be subject to robust and independent scrutiny to maintain trust and confidence across the sector. That principle is wholly right, and I think everyone would agree with it. Clause 66 already requires the Local Audit Office to appoint an independent entity to scrutinise its audit work.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“That reflected a move to the private market provision of the local audit, with the expectation that local bodies would individually appoint their own auditors. By contrast, the LAO will restore central oversight and public accountability to the local audit system, with mandatory and independent auditor appointments to all local authorities, as well as some other local bodies. The schedule streamlines and simplifies the regulatory framework. I commend the clause and the schedule to the Committee.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“The LAO would retain overall authority for the audit quality and act as the final arbiter where enforcement action is required. We expect the LAO to continue the current model under which a professional accountancy body is recognised to register and oversee audit firms, although it will not be bound to do so. The framework will facilitate high-quality, timely audits and restore the confidence of local bodies and users. Schedule 29 sets out the detail of the new framework for the registration, oversight and quality of local audits. It replaces the existing statutory framework, which aligned local audit regulation with corporate audit regulation, and had rigid statutory safeguards and regulatory functions delivered by a range of bodies.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Clause 62 will establish a new framework for the regulation of local auditors, which will be overseen by the Local Audit Office. Independent reviews have been consistently clear that local audit regulation is too fragmented and lacks central co-ordination. The system is failing and, at the same time, audit quality requirements designed for corporate audits have driven up work on areas of accounts of little relevance to users. That contributes to delays and increases costs. The clause enables the LAO to hold a register and regulate the sector directly, or to designate and supervise an external registration body to oversee the registration, quality monitoring and conduct of audit providers. Designation of an external registration body would reduce potential conflicts of interest for inspectors and monitoring.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“For us, the key is consistency and clarity across the piece on the standards and norms that all professional accountancy bodies are using.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“I apologise to the hon. Member for the lack of response—I will make sure we get one to him swiftly. Inevitably, different accounting standards will be used. We will set out guidance, and we will of course look to retain flexibility within that, so that local authorities can ensure that they are using the appropriate standards. We do, however, need a far more centralised and streamlined process, whereby the appointment of auditors is done through a central function—the LAO. Across the piece, there will be uniform and consistent standards that apply both to local authorities and public bodies. That is currently sorely missing, but within the system, there will be different accounting standards and professional body accreditation that individual auditors will apply to.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“(5) The arrangements and rules must allow for the Local Audit Office to be able— (a) to determine that a particular case raises or appears to raise important issues affecting the public interest, and (b) to assume enforcement responsibility in a case in which it has made such a determination. (6) For the purposes of sub-paragraph (5), the Office assumes enforcement responsibility if it assumes responsibility for the final decision (subject to any appeal) as to— (a) whether the requirement or rule in question has been breached, and (b) if so, the sanction to be imposed.”— (Miatta Fahnbulleh.) See the explanatory statement for Amendment 239. Schedule 29, as amended, agreed to. Clause 63 New appointment arrangements for non-NHS audits”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Amendment 239, in schedule 29, page 301, line 28, at end insert— “(c) arrangements for the imposition of sanctions in respect of breaches that are established, and (d) registration rules and lead partner rules designed to secure that providers and lead partners are bound by any sanctions.” This amendment and Amendment 240 require the body maintaining the register of local audit providers to put in place a system of sanctions, including financial penalties, against registered providers and their lead partners. Amendment 240, in schedule 29, page 301, line 30, at end insert— “(3) The available sanctions must include financial penalties. (4) The arrangements and rules must allow for appeals to be made to a person who will determine the appeal independently of the maker of the decision appealed against.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“(4) This court may not make an order under this paragraph in respect of the requirement to comply with a direction under paragraph 2 unless it is satisfied that the failure of compliance on the ground of which the direction was given did in fact occur.” This amendment empowers the Local Audit Office to take enforcement action against an external registration body if it fails to comply with its duties.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“(5) The court may— (a) make an interim order suspending the effect of a direction or penalty appealed against under this paragraph; (b) if it allows an appeal under this paragraph against a penalty, make any order as to interest that it considers appropriate (including an order varying the effect of paragraph 4(6)(a)). Compliance orders by the court 2D (1) This paragraph applies if the High Court is satisfied, on an application by the Local Audit Office, that an external registration body has failed to comply with a requirement under— (a) this Act, or (b) an agreement under section 6B(5). (2) The court may order the body to take steps that the court considers will secure that the requirement in question is complied with. (3) Such a step— (a) must be one that the body has the power to take; (b) may consist of not doing something.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“(2) The grounds on which an appeal may be brought are— (a) that the failure of compliance on the grounds of which the direction was given or the penalty was imposed did not occur, or (b) that any of the following is unreasonable— (i) the decision to give the direction or impose the penalty; (ii) any of the terms of the direction; (iii) the amount of the penalty, or the time or manner of its payment. (3) If satisfied that any of those grounds is made out, the court must allow the appeal and do whichever of the following it considers appropriate— (a) cancel the direction or penalty, or (b) vary the direction or the notice imposing the penalty. (4) Otherwise, the court must dismiss the appeal.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“(4) The Office must publish— (a) a direction under paragraph 2, (b) a notice imposing a penalty under paragraph 2A, and (c) any notice cancelling or varying such a direction or notice. (5) But it must do so only after the direction or penalty can no longer be cancelled or varied on appeal (ignoring any possibility of an appeal out of time). (6) If a penalty imposed under paragraph 2A is not paid in time— (a) the penalty (or the unpaid part of it) carries interest at the rate for the time being specified in section 17 of the Judgments Act 1838; (b) the Office may recover the penalty (or the unpaid part of it), with the interest, as a debt. Directions and penalties: appeals 2C (1) An external registration body may appeal to the High Court against a direction given to it under paragraph 2 or a penalty imposed on it under paragraph 2A.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“(2) A notice of intent is a notice that— (a) states the Office’s intention to give the direction or impose the penalty, (b) sets out the intended terms of the direction or of the notice imposing the penalty, (c) explains the Office’s reasons for intending to give the direction or impose the penalty, and (d) specifies the time by which, and manner in which, representations may be made. (3) Where the Office has given a direction under paragraph 2 or imposed a penalty under paragraph 2A, the Office may by written notice given to that body— (a) cancel the direction or penalty, or (b) vary the direction, or the notice imposing the penalty, it in any way that does not make it more onerous.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“(4) An external registration body must, as soon as practicable after the end of a financial year, notify the Office of its total income in that year from fees charged under section 6A(5). (5) The amount of a penalty imposed on a body under this paragraph may not exceed 30% of the sum last notified by the body under sub-paragraph (4). Directions and penalties: procedure etc 2B (1) Before giving a direction under paragraph 2 or imposing a penalty under paragraph 2A, the Local Audit Office must— (a) give the body a notice of intent, and (b) consider any representations made by the body in response to (and in accordance with) that notice.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Schedule 29 Local audit: registration bodies, registered providers and qualifications Amendments made: 238, in schedule 29, page 297, line 17, at end insert— “Financial penalties 2A (1) If the Local Audit Office considers that an external registration body has failed to comply with a requirement under— (a) this Act, or (b) an agreement under section 6B(5), the Office may impose a financial penalty on the body. (2) A financial penalty is imposed by giving the body a written notice requiring the body to pay the Office a financial penalty of a sum specified in the notice. (3) Such a notice must— (a) explain the Office’s reasons for imposing the penalty, and (b) specify the time by which, and manner in which, the penalty must be paid.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“We all want to achieve that but, sadly, the audit regime is not delivering it at the moment. It beggars belief, but it is where we are now. These additional provisions will strengthen the entire infrastructure, add to the responsibilities of our finance directors as accounting officers, and deliver local authorities that are more financially secure and able to deliver the services their users require. Question put and agreed to. Clause 62 accordingly ordered to stand part of the Bill.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“That ensures that we are raising standards across the piece. If a council gets an audit, it will know it is an audit of good quality that will drive and deliver the change that we want. Thirdly, we already have the best value regime, where central Government can intervene when local authorities are not performing, or there are financial considerations at play. That will still apply. This takes the best of the current system but deals with the existing gap, which is that we do not have a uniform, consistent auditing regime that ensures an independent review of what individual councils are doing. The new system will also ensure that when problems are found, there is a mechanism for escalating, so that councils will be financially viable and delivering effective services.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“I misunderstood the hon. Gentleman’s original question. The accountability of the finance director, the sets of standards already locked in and the legislation they have to consider to ensure good use of public funds completely apply to this. It is their responsibility to ensure that the council’s decisions are right, that it is financially viable and that it is delivering the services required. The changes we are putting in place do not cut across that or undermine it. It remains a fundamental plank of this. We are, however, changing the oversight. First, we are enabling an independent auditor to come in and do the function of auditing, as that is currently not happening. Secondly, it will be done with auditors who adhere to a standard code of norms consistent across the public sector.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“The clause will also establish a proportionate framework in which the LAO will make appointments, including requirements regarding when and how appointments are made. I commend the clause to the Committee.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“Clause 63 is central to our reform agenda. It will give the new Local Audit Office responsibility for appointing auditors for all local authorities, as well as some other local bodies, such as police and fire bodies. Currently, such bodies can choose to opt into an appointment scheme overseen by Public Sector Audit Appointments Ltd or appoint their own auditor. In practice, more than 99% of bodies are opted into PSAA’s scheme, demonstrating the sector-wide support for a centralised appointment regime. Centralised appointments significantly reduce burdens on individual authorities. The LAO’s position at the heart of the audit system will make it uniquely qualified to ensure that audits provide value for money, support market sustainability and effectively manage audit contracts.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“It means that they get an auditor that is accredited and approved to be of a certain standard, and therefore they can be confident in that auditor. The system should make it easier for all our public bodies. At the moment, all our conversations suggest that they hugely support the direction of travel and have no concerns about it. Perhaps I have not understood the hon. Gentleman’s question. We are taking something that is happening by default anyway and making it better and standard, in a way that will work for all those public bodies.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗
“I confess that I am not 100% clear about what the hon. Gentleman is getting at. I might partly answer his question by saying that the majority of public bodies—99%—are going through the Public Sector Audit Appointments regime anyway, because they see value in it. What we are now doing is taking that function, aligning it with the oversight of the entire regime and putting it in the Local Audit Office. That will make it streamlined and more effective. We are not fundamentally changing the decisions that individual local bodies are making. If there was a big clamour for diversity in the market, that would be a different thing, but at the moment we hear from local public bodies that they want a centralised system. That makes their life much easier; it means there is a standard procurement process, which reduces the burden on them.”
House of Commons28 October 2025Contains Parliamentary information licensed under the Open Parliament Licence v3.0Source ↗