The Smaller Authorities Proper Practices Panel (SAPPP) has today launched a consultation on a proposed new framework of proper practices for Category 2 Authorities in England, and the Panel would welcome your views.
This consultation is the second stage of a wider review of the governance, accountability and accounting framework for smaller (Category 2) authorities. The review is being carried out by CIPFA on behalf of SAPPP, with support from Smaller Authorities' Audit Appointments (SAAA).
As the current framework has been in place for more than a decade, the review aims to ensure that guidance remains relevant, practical and fit for purpose. Feedback is being sought on two proposed documents:
- Proper Practices Code for Category 2 Authorities (England)
- Code of Practice for Internal Audit of Category 2 Authorities (England)
The proposed codes are intended to provide a clearer and more consistent approach to governance, financial management, accountability and internal audit across the sector.
SAPPP is particularly interested in views on:
· Changes to the Annual Governance Statement
· The treatment of reserves
· The presentation of accounts
· The proposed new approach to internal audit
The proposals have been shaped by feedback received during the first consultation in autumn 2025 from councillors, clerks, auditors, sector bodies and members of the public. This latest consultation provides an opportunity to help ensure the final framework is clear, practical and supports authorities in meeting their statutory responsibilities.
This is an important opportunity to influence the future framework for smaller authorities; you are encouraged to review the consultation documents and share your views. Please also share with your member councils and encourage them to participate.
👉 View the consultation and submit your response
📅 Closing date: 31 October 2026
Following the consultation, SAPPP will consider all responses before finalising the framework. Subject to approval, the new documents are expected to be introduced for the 2027/28 financial year.