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National Audit Office report: Confirmed impacts: NAO report makes an important contribution to the debate on local authority financial health

Confirmed impacts: NAO report makes an important contribution to the debate on local authority financial health

We recommended that the Department for Communities and Local Government improve its evaluation of the impact of funding changes on local authorities' financial sustainability. This NAO impacts case study represents one example where there has been some beneficial change, whether financial or non-financial, resulting from our involvement.

Impacts case study

In January 2013 we reported on central government’s approach to local authority funding, having reviewed local authorities’ financial sustainability against a backdrop of recent funding changes.

We recommended that the Department for Communities and Local Government improve its evaluation of the impact of funding changes on local authorities’ financial sustainability.

Our report was welcomed by both national and local government, and by influential sector bodies such as the Local Government Association, London Councils, and the Chartered Institute of Public Finance and Accountancy.

This is one of a series of recent NAO reports focused on local government – you may also be interested in our other reports on local services and communities.

What are impacts?

The NAO collects examples of where there has been some beneficial change, whether financial or non-financial, resulting from our involvement. All of these examples are subject to internal quality assurance review, and agreed with senior management of the audited bodies.

Financial impacts represent our estimate of the financial benefits achieved following implementation of the NAO’s recommendations to government, and are independently validated by our external auditors.

 

Publication details:

Published date: June 24, 2013