Audit Commission

Procurement of audit for smaller public bodies (added 30 March)

The Audit Commission has today confirmed the award of five-year contracts to four firms to audit the country's 9,800 smaller local public bodies - mostly parish and town councils and internal drainage boards. The contract awards were announced provisionally on 19 March 2012. Under the Public Contracts Regulations, the contract awards remain provisional until after the required 'standstill' period which ended yesterday, 29 March 2012.

The contract awards are:

Audit Commission announces award of five-year contracts (added 6 March)

On 6 March the Audit Commission confirmed the award of five-year audit contracts to four private firms starting from 2012/13 - contracts that will contribute to an up to 40 per cent cut in the audit fees paid by local public bodies.

The Audit Commission awarded the following contracts to:

• Grant Thornton (UK) LLP, a total notional value of £41.3 million a year covering four contract areas in the North West, West Midlands, London (South) Surrey & Kent, and South West;
• KPMG LLP a total notional value of £23.1 million a year covering three contract areas in Humberside & Yorkshire, East Midlands, and London (North);
• Ernst & Young LLP a total notional value of £20 million a year covering two contract areas in Eastern and South East; and
• DA Partnership Ltd a total notional value of £5 million a year covering one contract area in the North East & North Yorkshire.

Strategy for making auditor appointments for 2012/13 and future years (added 25 January 2012)

The Audit Commission has published its strategy outlining how it will go about making auditor appointments for 2012/13 and future years following the completion of the procurement exercise to outsource the work of the Audit Practice. The strategy is available from our Appointing Auditors page. 

Issue of Invitations to Tender - small bodies' procurement (added 10 November 2011)

The Audit Commission has issued Invitations to Tender (ITTs) to 15 potential providers who have met the pre qualification requirements in relation to the small bodies' procurement.

Potential providers issued with the ITT:

• Baker Tilly UK Audit LLP
• BDO LLP
• Bishop Flemming
• Chantrey Velacott DFK LLP
• Clement Keys
• Deloitte LLP
• Grant Thornton (UK) LLP
• Haines Watts
• Littlejohn LLP
• Mazars LLP
• Menzies LLP
• Moore Stephens LLP
• PKF (UK) LLP
• consortium led by UHY Hacker Young LLP
• Wilkins Kennedy

Copies of the ITTs (small bodies procurement) that have been sent to potential providers are now available.

Tenderers have until 5pm on 6 January 2012 to submit their completed Tender Response, in accordance with the timetable outlined below.

Issue of Invitations to Tender - principal bodies' procurement (added 27 October 2011)

The Audit Commission has issued Invitations to Tender (ITTs) to 13 potential providers who have met the pre qualification requirements in relation to the principal bodies' procurement.

Potential providers issued with the ITT:

• BDO LLP
• DA Partnership Ltd
• Deloitte LLP
• Ernst & Young LLP
• Grant Thornton (UK) LLP
• consortium led by Haines Watts
• KPMG LLP
• Menzies LLP
• consortium led by MHA Audit LLP
• consortium led by Moore Stephens LLP
• PKF (UK) LLP
• pwc LLP
• RSM Tenon Audit Ltd

Copies of the ITTs (principal bodies' procurement) that have today been sent to potential providers are now available.

Tenderers have until 5pm on 16 December to submit their completed Tender Response, in accordance with the timetable outlined below.

Contract notices issued (added 7 September 2011)

The Commission has formally launched the process for outsourcing the work of its Audit Practice. In line with the timetable for the procurements of audit services for principal and small bodies, the Audit Commission has issued Contract Notices in the Official Journal of the European Union. The Contract Notices can also be found on our contract opportunities page.

We have also published two other key documents relating to the procurement. The first is the Procurement strategy (PDF, 161kb) setting out the objectives of the two procurement exercises and how they will be carried out.

The second document is the formal Protocol (PDF, 194kb), to which all Commission staff have been required to sign up, to ensure propriety in the preparation of any employee-led bids.

Timetable for outsourcing process (added 15 August 2011)

Following confirmation of the outsourcing of all local audit work from 2012/13, the Audit Commission is now able to provide further details about the timetable for the principal bodies' and small bodies' procurements.

The table below provides the key milestones currently planned for each of the procurements. This is intended as a guide and while the Commission does not intend to depart from the timetable it reserves the right to do so at any stage.