New legislation allowing local people to veto excessive council tax rises has now come into force.
The Local Audit and Accountability Act paves the way for a new local audit framework, which the government says will ‘sweep away the old top-down regime and offer greater responsibility and choice for local bodies’.
It signals the end of the Audit Commission in a move that is expected to create £1.2bn of savings.
The Act strengthens publicity code for local authorities – a move designed to protect local media from unfair competition by council newspapers and ensure continued ‘robust scrutiny’ by the press. It also gives members of the public and the media the right to film and use social media at local government meetings.
‘This important new law will pass power down to people and replace old fashioned bureaucracy with local choice and transparency,’ said local government secretary, Eric Pickles. ‘The £1.2bn of savings we will be making will help reduce the inherited national deficit for the benefit of hard working taxpayers.’
Sue Higgins, executive leader for local government at the National Audit Office – which will set public audit standards – said: ‘The challenge now for all those with a role to play in the new local audit framework is to manage the transition to the new arrangements, and government will need to ensure they work in practice.
‘We are committed to building upon the strong foundation provided by the Audit Commission in taking on our new responsibilities. We are already experienced in testing value for money across the whole of the public sector, national and local. We will continue to develop that programme as we take on our new local audit role.’
