UK Inquiry Tracker

Whole of Government Accounts 2022-23

Public Accounts Committee Closed Inquiry

Opened: 31 Oct 2024 Closed: 16 May 2025 Parliament page

The Whole of Government Accounts (WGA) consolidates the accounts of over 10,000 public organisations, including central government departments, local authorities, devolved administrations, the NHS, academy schools and public corporations, to provide the most complete and accurate picture of the UK’s public finances. The Committee’s scrutiny of the WGA 2021-22 warned … Read more

4 Recommendations

29 Conclusions

1 Report

1 Oral session

2 Letters

1 Event

Activity timeline 5 events

19 May
2025

Correspondence

Letter from the Permanent Secretary of the Ministry of Housing, Communities and Local Government relating to the 16th Report of Session 202…

16 May
2025

Report published

Treasury minutes: Government response to the Committee of Public Accounts on the Sixteenth report from Session 2024-25

12 May
2025

Correspondence

Letter from the Director General Public Spending at HM Treasury relating to the update on progress for the Whole of Government Accounts 202…

19 Mar
2025

Report published

16th Report - Whole of Government Accounts 2022-23

23 Jan
2025

Oral evidence

Oral evidence session

Oral evidence sessions 1 session

23 Jan 2025

View on parliament.uk

Andrew Cartner · HM Treasury Conrad Smewing · HM Treasury James Bowler CB · HM Treasury Rosie Seymour · Ministry of Housing, Communities and Local Government Will Garton · Ministry of Housing, Communities and Local Government Will Garton · Department for Levelling Up, Housing and Communities

Reports 1 report · click to expand

Title	HC No.	Published	Items	Response
16th Report - Whole of Government Accounts 2022-23	HC 367	19 Mar 2025	33	Response document linked

Recommendations & Conclusions

33 results

2 Conclusion

16th Report - Whole of Government …

MHCLG should write to the Committee setting out key dates for local authority audit resolution

The Treasury and MHCLG have plans to try and fix the crisis in local authority audit arrangements, but it has taken too long to put these plans in place. The number of missing and unaudited bodies had increased consistently since … Read more The Treasury and MHCLG have plans to try and fix the crisis in local authority audit arrangements, but it has taken too long to put these plans in place. The number of missing and unaudited bodies had increased consistently since 2019–20. The Kingman review in 2018 and the Redmond review in 2020 concluded that local authority audit arrangements needed to be rethought and the previous Public Accounts Committee raised concerns several times in recent years about the state of local authority audit arrangements. To address the issue the government legislated on 9 September 2024 to implement a series of statutory deadlines, or backstop 4 dates, by which the audits of English Local Authority accounts must be complete. The first backstop date to complete audits of accounts relating to the 2022–23 financial year was set at 13 December 2024, with a further five dates covering audits up to the 2027–28 financial year. Furthermore, MHCLG published its strategy for overhauling the local audit system in England in December 2024. This committed to a series of measures to fix the crisis in local audit, including the establishment of a statutory and independent Local Audit Office (LAO) to consolidate fragmented powers and responsibilities into one body to support the sector. It is not clear whether there will be sufficient private sector audit capacity to deliver the remit of the LAO, whether public sector involvement is being considered or how the strategy will address how local authorities should apply international financial reporting and audit standards. Following a previous recommendation of this Committee in 2024, the Treasury is conducting a pilot, due to complete this year, to test an approach to aligning financial year–end dates for academies and further education colleges in order to avoid further qualifications. recommendation Alongside the Treasury Minute response to this report: a. MHCLG should write to the Committee setting out key dates relating to resolution of the l Show less

HM Treasury

Whole of Government Accounts 2022-23

Activity timeline 5 events

Oral evidence sessions 1 session

Reports 1 report · click to expand

Recommendations & Conclusions

MHCLG should write to the Committee setting out key dates for local authority audit resolution

MHCLG should explain approach to identifying local authorities under financial pressure and audit deadline consequences

Continue improving WGA accessibility, considering a 'pocket handbook' and setting out digitisation plans

Include additional WGA information on undiscounted liabilities, trend analysis, and actuarial assumptions

Outline how WGA disclosures will be updated to ensure long-term financial risks are transparent

Committee scrutinised Whole of Government Accounts for year ending March 2023

Significant missing data and misstated liabilities impact Whole of Government Accounts accuracy

Substantial portions of Whole of Government Accounts are based on unaudited draft data

Treasury acknowledges WGA reliability issues, expressing belief in future improvements despite problems

Systemic local audit issues, not authority failings, cause widespread missing WGA submissions

New statutory backstop dates for local audits improve timeliness but increase disclaimed opinions

Treasury prioritises WGA timeliness, aiming to reverse rapid rise in missing accounts post-COVID

Treasury provides £45 million for local authority audit services, considering continued future funding

MHCLG plans to simplify local authority financial reporting to resolve audit issues

MHCLG plans Local Audit Office creation to centralise oversight, though LGA expresses reservations

Insufficient audited accounts undermine local authority transparency and financial health.

Treasury and MHCLG claim alternative methods monitor local authority financial health.

MHCLG's oversight gaps exacerbated by increasing delays in local authority accounts.

Require MHCLG to always seek explanations for late local authority accounts.

Treasury significantly improved WGA quality and accessibility through new reporting sections.

Treasury plans to enhance WGA clarity by consolidating information and linking external data.

Treasury provides WGA training sessions to enhance parliamentary understanding and utility.

Treasury plans WGA format improvements, including trend analysis and increased digital content.

WGA discount rate adjustments obscured the actual increase in nuclear decommissioning costs.

Public sector pension liability changes lack distinct breakdown of discount rate impact.

Discount rate volatility hinders clear understanding of WGA Net Liabilities for ordinary readers.

Reduction in WGA pension liabilities reflects actuarial assumptions, not real financial gain.

WGA reporting on actuarial assumptions impacting unfunded pension liability requires further improvement.

Multiple economic shocks and demographic pressures strain UK public finances, risking unsustainable debt.

OBR forecasts serve as primary gauge for public spending sustainability, WGA provides broader view.

OBR projections indicate public debt will triple within 50 years, necessitating policy changes.

Addressing adult social care and future cost drivers is crucial for long-term fiscal sustainability.

Significant WGA deficit in 2022-23 highlights urgent need for a long-term fiscal strategy.

Correspondence 2 letters