17 March 2011 - Audit Scotland

More documents

Recommendations

Info

Public bodies7. Those responsible for public business and handling public money must be held accountable, inaccordance with the law and proper standards, to those who use and pay for the servicesprovided. Public resources should be safeguarded, properly accounted for and usedeconomically, efficiently and effectively. Public bodies, including Audit Scotland, are expected tooperate within the principles of Best Value, which means the achievement of continuousimprovement in the delivery of their functions. This includes having regard to the concepts ofeconomy, efficiency and effectiveness and the need to meet equal opportunity requirements, andcontributing to the achievement of sustainable development.8. Public bodies, including Audit Scotland, also have statutory duties to promote equalopportunities and diversity in the course of their work.9. The Scottish ministers, elected members, governing bodies, boards, accountable officers,managers and officials have primary responsibility for ensuring that public business is conductedin accordance with the law and proper standards, and that public money is handled with integrityand spent appropriately. Public bodies and those responsible for conducting their affairs mustdischarge this accountability by establishing and maintaining proper governance arrangementsand effective stewardship of the resources at their disposal.Public sector auditors10. The special accountabilities that attach to the conduct of public business, and the use ofpublic money, mean that public sector audits must be planned and undertaken from a widerperspective than in the private sector. This means providing assurance, not only on the financialstatements and associated documents such as governance statements, but providing a viewalso, where appropriate, on matters such as regularity (or legality), propriety, performance andthe use of resources in accordance with the principles of Best Value and ‘value for money’.11. Accordingly, while the basic principles for auditing financial statements are common to thepublic and private sectors, external auditors in the public sector (whether Audit Scotland staff orprivate firms) also review and report on aspects of arrangements made by bodies to ensure theproper conduct of their affairs and to manage performance and the use of resources.12. Public sector audit adds value, not only by reviewing and reporting on what happened, butalso by looking forward, identifying where improvements can be made, and promoting goodpractice. In this way public sector audit contributes to improved standards of governance, bettermanagement and decision-making, and more effective use of taxpayers’ money.13. Public audit is an important link in the chain of accountability and holding to account. Itstrengthens accountability, both upwards to the elected or appointed members who provideresources, and outwards to consumers, beneficiaries, taxpayers and the wider community. This isachieved through the:independence of auditors from the bodies being audited, including independentappointment by the Auditor General or the Accounts Commission, rather than by theaudited bodies themselveswider scope of public audit, as described aboveability of auditors, the Auditor General, the Accounts Commission and Audit Scotland tomake the results of audits and reviews available to the public and to democraticallyelected representatives.5
Roles of the Auditor General, the Accounts Commission and AuditScotland14. Public sector audit in Scotland is delivered through three bodies:the Auditor General for Scotlandthe Accounts CommissionAudit Scotland.These bodies work closely together and by looking at issues across boundaries aim to maximisethe effectiveness of their work.The Auditor General for Scotland15. The Auditor General for Scotland is the Parliament’s watchdog for ensuring propriety andvalue for money in the public bodies that fall within his remit. The Auditor General is responsiblefor investigating whether these bodies achieve the best possible value for money and adhere tothe highest standards of financial management. The Auditor General is independent and notsubject to the control of any member of the Scottish Government or the Parliament.16. The Auditor General is responsible under the Public Finance and Accountability (Scotland)Act 2000 (the 2000 Act) for appointing the external auditors of most of the public bodies outsidethe local government sector. The following bodies fall within the Auditor General’s remit:the Scottish Government and its agenciesNational Health Service bodiesfurther education collegesScottish Waternon-departmental public bodies and others (eg, Scottish Enterprise).17. Audited annual financial statements, including the independent auditors’ reports and reportsby the Auditor General, where the Auditor General decides these are appropriate, are sent to theScottish ministers to be laid before the Scottish Parliament. The Auditor General may also reportto the Scottish Parliament on value for money examinations.The Accounts Commission for Scotland18. The Accounts Commission is the public’s independent watchdog appointed by the ScottishMinisters which, through the audit process, assists local government bodies in Scotland (includingcouncils, police authorities and fire and rescue authorities) to achieve the highest standards offinancial stewardship and the economic, efficient and effective use of their resources. TheCommission has four main responsibilities:securing the external audit, including the audit of Best Value and CommunityPlanning. The Commission appoints auditors to local government bodies under theLocal Government (Scotland) Act 1973following up issues of concern highlighted through the audit, to ensure satisfactoryresolutionscarrying out or promoting national performance audits to improve economy, efficiencyand effectiveness in local governmentissuing an annual direction to local authorities which sets out the range ofperformance information they are required to publish.19. The Accounts Commission also has a statutory duty to co-operate and coordinate with otherspecified bodies (such as Healthcare Improvement Scotland and HM Chief Inspector ofConstabulary) in relation to the scrutiny of efficiency, effectiveness and economy in localauthorities, social services and health services.6
Page 1 and 2:
The Accounts Commission for Scotlan
Page 3 and 4: Minutes of the meeting of the Accou
Page 5 and 6: 7. Update report by the Controller
Page 7 and 8: Following discussion, the Commissio
Page 9 and 10: 1. ApologiesApologies were received
Page 11 and 12: AGENDA ITEM 7Paper: AC.2011.3.3ACCO
Page 13 and 14: 15. As part of the debate on the 20
Page 15: 8. The Cabinet Secretary has welcom
Page 33 and 34: authority accounts. This serves to
Page 36 and 37: 6. The Commission is invited to—N
Page 40 and 41: Appendix 3Procedures for a hearing
Page 42 and 43: Appendix 4A ‘special’ report by
Page 44 and 45: Appendix 5The Commission’s consid
Page 46 and 47: so at a meeting of the authority wi
Page 48 and 49: Appendix 6Procedures for a hearing
Page 50 and 51: AGENDA ITEM 11Paper: AC.2011.3.9COD
Page 52 and 53: ForewordThe Code of Audit Practice
Page 56 and 57: 20. Matters arising from local gove
Page 58 and 59: Audit work does not replace the nee
Page 60 and 61: have regard to any national priorit
Page 62 and 63: 39. Auditors are required to carry
Page 64 and 65: Systems of internal controlStatemen
Page 66 and 67: esponses to developments which may
Page 68 and 69: work assigned to them in line with
Page 70 and 71: odies to manage contact appropriate
Page 72 and 73: 110. Exceptionally, Audit Scotland
Page 74 and 75: Appendix 1Auditors’ statutory dut
Page 76 and 77: Appendix 2Public rights of inspecti
Page 78 and 79: Appendix 4Glossary of termsAuditWor
Page 80 and 81: Statement on internal controlDepend
Page 82 and 83: Maintaining Scotland’s RoadsThis
Page 84 and 85: An emergency motion was lodged at t
Page 86 and 87: Proposal to move fortnightly-paid c
show all

17 March 2011 - Audit Scotland

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?