Financial Audit and Assurance Services Contract

Description

The National Audit Office (NAO) is the UK’s independent public spending watchdog. We support Parliament in holding government to account and we help to improve public services through our high-quality audits. The NAO’s Financial Audit Contract is a fundamental part of being able to carry out our purpose and achieve our objectives. We are partnering with supplier firms to ensure the delivery of high-quality audits which support effective accountability and lead to better financial reporting and financial management by public bodies. Our contract is divided into 11 Lots which all contain named audits as well as additional services and training and development. The NAO’s Comptroller and Auditor General (C&AG) retains overall responsibility for signing the audit opinion and issuing the audit certificate. The NAO will work with supplier firms to ensure audit engagements are carried out in line with the relevant standards and quality expectations. Lot 1: Charities This Lot contains charities. The NAO’s audit portfolio includes a number of charities. These charities are generally bodies performing charitable functions within a Departmental Group or overseen by a Department, where these charitable functions coincide with the functions of the Sponsor Department. The charities included in this Lot covers museums in both the Department for Digital, Culture, Media and Sport (DCMS) and Ministry of Defence (MoD) area. Lot 2: Pensions This Lot includes a number of Pension bodies. The pensions bodies are some of the most significant public sector pension schemes which would be suited to suppliers with actuarial and pensions audit expertise. Pension schemes are the biggest liability in the Whole of Government Account and are therefore under a significant level of scrutiny as to their valuation when informing overall government fiscal policy. The Pension Protection Fund is a statutory public corporation who are responsible for protecting people with an eligible defined benefit pension when an employer becomes insolvent. Lot 3: Education The bodies within this lot all support the delivery of government policy around Education in the UK, including bodies both sponsored by the Department for Education as well as non ministerial departments. Lot 4: Health The bodies in this lot all support the delivery of government policy around healthcare in England and Wales.. Many of the bodies play an important role in the regulation of medicines, healthcare and healthcare products. NHS Resolution handles negligence claims on behalf of the members of its indemnity schemes - NHS organisations, independent sector providers of NHS care in England and beneficiaries of state-backed indemnity for general practice. This leads to it accounting for liabilities in relation to clinical negligence, one of the most significant liabilities across government. Lot 5: Department for Environment, Food and Rural Affairs (DEFRA) The bodies within this Lot support the delivery of Defra’s environmental agenda. Several bodies within this lot include significant estimates in relation to the valuation of PPE and land and buildings. Lot 6: Department for Business, Energy and Industrial Strategy (BEIS) and Transport BEIS and Transport are Department Group audits falling within the NAO’s Infrastructure Group and so are aligned under the same business management processes. Several bodies within this Lot collect significant levels of income through levies or fees, and so an additional Trust Statement is prepared and audited that details income collected under this legislation. Lot 7: Home Office and Ministry of Defence The Home Office and the Ministry of Defence are Department Group audits falling within the NAO’s Society Group and so are aligned under the same business management processes. Lot 8: Society The Ministry of Justice and the Department for Digital, Media, Culture and Sport are Department Group audits falling within the NAO’s Society Group and so are aligned under the same business management processes. Lot 9: Centre These audits fall within the NAO’s Centre Group and so are aligned under the same business management processes. These organisations have a crucial role to play in debt and cash management for the UK Government. Lot 10: Crown Estate and British Film Institute The Crown Estate is one of our most high profile clients with a varied portfolio of investment and development of lands and holdings to generate revenue for HM Treasury. For BFI, they carry out a diverse range of activities to meet its charitable objects. Expertise in valuation of investment property in the retail and environment sectors, and expertise in auditing complex valuations accounted for under IFRS 9. Lot 11: Devolved Activity These bodies are responsible for the representation of devolved affairs in HM Government, facilitating the smooth operation of devolution, liaising between the UK Government and these governments and the administering of certain reserved matters of government relating to Scotland, Wales and Northern Ireland. The National Lottery Community Fund provides grant support to community projects across the entire UK.