Comptroller and Auditor General (United Kingdom)

Comptroller and Auditor General (United Kingdom)
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Name	Comptroller and Auditor General
Incumbent	Gareth Davies
Incumbentsince	2019
Department	National Audit Office
Seat	Westminster
Appointer	King-in-Council
Formation	1866
First	John Wing

Comptroller and Auditor General (United Kingdom)

The Comptroller and Auditor General is the independent public official who heads the National Audit Office and scrutinises public spending, reporting to Parliament and influencing scrutiny by Select Committees. The office, based at Westminster and interacting with the Treasury, Parliament, Public Accounts Committee and devolved administrations, combines financial control with value-for-money audit functions dating back to 19th-century reforms.

History

The office traces antecedents to the Exchequer reforms following the Board of Audit era and the Exchequer and Audit Departments Act 1866, which created an independent auditor after debates involving William Gladstone, Benjamin Disraeli, and administrations concerned with the Pitt ministries. Subsequent developments were shaped by statutes including the Exchequer and Audit Act 1889 and by inquiries influenced by figures such as Sir John Simon and commissions modelled on practices in France and Sweden. Twentieth-century expansions of state functions during the First World War and Second World War increased audit scope, prompting interactions with institutions like the Treasury Solicitor and the Public Accounts Committee (House of Commons). Reforming moments in the late twentieth and early twenty-first centuries involved dialogues with Margaret Thatcher, Tony Blair, and inquiries such as the responses to the Collins Review and the NAO strategic reviews.

Role and Responsibilities

The C&AG conducts statutory audits of accounts prepared by government departments, non-departmental public bodies such as the BBC, and public corporations like Network Rail, while producing value-for-money reports used by the Public Accounts Committee and debated in House of Commons. Responsibilities include certifying accounts for entities such as HM Revenue and Customs, Department for Work and Pensions, and Ministry of Defence, and auditing central grants to bodies including NHS England and devolved governments in Scotland, Wales, and Northern Ireland. The office liaises with international bodies including the International Organization of Supreme Audit Institutions and counterparts such as the Comptroller and Auditor General of India, United States Government Accountability Office, and Australian National Audit Office.

Appointment and Accountability

The C&AG is appointed by His Majesty on the recommendation of the Prime Minister after consultation with the Chair of the Public Accounts Committee and is accountable primarily to the House of Commons through reports presented by the Comptroller General of the Exchequer and appearances before select committees. Removal follows procedures involving the King-in-Council and has been subject to constitutional debate referenced in cases like discussions around ministerial responsibility and recommendations from reviews inspired by events such as the MPs' expenses scandal. The postholder’s independence is protected by statute and parliamentary conventions tied to institutions such as the Privy Council and the Civil Service Commission.

Organisation and Staff

The National Audit Office, led by the C&AG, comprises directorates responsible for financial audit, value-for-money studies, and investigation units, staffed by professionals recruited from accountancy bodies including Institute of Chartered Accountants in England and Wales, Chartered Institute of Public Finance and Accountancy, and management backgrounds including alumni of London School of Economics and Oxford University. The NAO works alongside firms from the Big Four accounting firms on specific audits, and maintains regional offices interacting with local authorities such as Manchester City Council, Glasgow City Council, and Birmingham City Council. Senior NAO figures have included former officials seconded from HM Treasury and regulators such as the Financial Reporting Council.

Powers and Procedures

Statutory powers derive from the National Audit Act 1983 and earlier Exchequer statutes, enabling the C&AG to access documents, require explanations from accounting officers of departments such as the Home Office and Foreign, Commonwealth and Development Office, and to appoint auditors to public bodies like Crown Commercial Service entities. Procedures include financial statement audits in accordance with standards set by the International Auditing and Assurance Standards Board and performance audits guided by methodologies used by the Organisation for Economic Co-operation and Development and the World Bank. The office publishes reports, evidence, and data underpinning parliamentary scrutiny and may refer matters to bodies including the Serious Fraud Office, National Crime Agency, or advisory inquiries such as those chaired by judges from the Supreme Court of the United Kingdom.

Notable Reports and Impact

Prominent NAO reports have examined failures and reform needs across areas including the Post Office Horizon scandal, the Universal Credit rollout, the Grenfell Tower fire aftermath funding, and major projects like HS2 and the Phoenix pay system analogue in other jurisdictions. The NAO’s investigations into procurement and IT projects influenced policy change in departments such as the Ministry of Defence and Department for Transport and informed parliamentary action following reports on the Pension Protection Fund and controversies like the UK financial crisis public inquiries. Internationally, NAO methodologies have been cited by the European Court of Auditors and auditing bodies in Canada and New Zealand.

Category:Public audit Category:United Kingdom oversight institutions