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Community Legal Service Fund and Criminal Defence Service 2012-13 accounts
Full report: Community Legal Service Fund and Criminal Defence Service 2012-13 accounts
For the first time since 2008-09, Amyas Morse, head of the National Audit Office, has given a clear opinion on the annual financial statements of the Legal Services Commission (LSC). This is because he does not consider the estimated £14.5 million of irregular payments by the Commission to legal aid providers to be material in the context of annual payments of £2.1 billion.
The total estimated amount of irregular payments has fallen by 59 per cent to £14.5 million, from £35.6 million in 2011-12.
Irregular payments include amounts paid to legal aid providers where the claim was not in compliance with the statutory fee regimes, and amounts paid as legal aid in respect of people who were not eligible or whose eligibility could not be proven
Mr Morse yesterday certified the accounts of the Community Legal Service Fund and the Criminal Defence Service, prepared by the LSC (which has now been abolished and replaced by the Legal Aid Agency or LAA).
The report found that the LAA starts with an improved assurance framework embedded within the business and significantly reduced levels of irregularity. This is underpinned by more robust supplier management, risk-based assurance activity and more routine recovery of irregular payments.
The report recommended that the agency keep driving down irregularity through more pre-payment checks and maintain the routine recovery of irregular payments made to suppliers in previous years as these are an essential part of LAA’s management of suppliers and protection of taxpayers’ funds.
Gross irregularity remains high for civil legal help schemes and has increased for some schemes based on eligibility. LAA should focus effort on these areas, particularly on the prevention of errors during means assessments.
The C&AG’s audit of the 2013-14 financial statements will continue to examine the level of irregular transactions and to monitor LAA’s progress in making further improvements.
Notes for Editors
- The Legal Services Commission, a former non-departmental public body, was abolished on 1 April 2013, with functions fully transferring to the Ministry of Justice’s newly created Legal Aid Agency at that date
- Press notices and reports are available from the date of publication on the NAO website, which is at www.nao.org.uk. Hard copies can be obtained from The Stationery Office on 0845 702 3474.
- The National Audit Office scrutinises public spending for Parliament and is independent of government. The Comptroller and Auditor General (C&AG), Amyas Morse, is an Officer of the House of Commons and leads the NAO, which employs some 867 staff. The C&AG certifies the accounts of all government departments and many other public sector bodies. He has statutory authority to examine and report to Parliament on whether departments and the bodies they fund have used their resources efficiently, effectively, and with economy. Our studies evaluate the value for money of public spending, nationally and locally. Our recommendations and reports on good practice help government improve public services, and our work led to audited savings of almost £1.2 billion in 2012.
