14 November 2003
The Audit Commission expects to see its income fall by £36m over the next three years because of its diminishing responsibilities and its emphasis on more strategic regulation.
The watchdog's draft strategic plan for 2004/07, published on November 13, reveals that it expects its annual income from inspection activity to fall from its 2002/03 total of £218m.
Nearly £23m in fees will be lost as the commission cedes responsibility for NHS value-for-money studies and social services reviews to new bodies. The new audit body for Wales will also take charge of Welsh finances. A further £13m will go as the commission implements strategic regulation in local government.
The predicted cuts in income come a week after the watchdog announced plans to cut 250 jobs from its 2,500–strong workforce over the next two years.
'While continuing to challenge the bureaucracy that surrounds public services, we will also scrutinise our own activities with equal rigour to ensure we deliver value for money regulation,' said commission chair James Strachan.
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