Audit committees are an important part of governance frameworks. Effective audit committees can catalyse better governance in entities. They help entities become more efficient, effective, and economical, and promote accountability, integrity, and transparency.

Our annual local government reports have repeatedly recommended the importance of local governments having audit committees. The State Development and Regional Industries Committee has also recently recommended that all local governments be required to establish an independent audit and risk management committee.

Following our report Effectiveness of audit committees in state government entities (Report 2: 2020–21), this audit will provide insights into the effectiveness of audit committees at local governments.