Local Government auditing in Italy

This chapter describes the audit of local government in Italy. In Italy, as elsewhere, local audit has been affected by the implementation of new public management based reforms. There is an increasing trend towards collaboration and cooperation between the audited authority and the auditor. Audit has begun, as in other jurisdictions to widen its remit, so that it focusses on performance as much as financial and compliance issues. This change in role brings with it opportunities for the auditor to help public sector improvement but also challenges – as new skills are required for the new roles that the auditor takes on and audit independence is complicated by the cooperative nature of modern local government audit.