Auditor General’s report shows significant progress in local government finances

Media Releases | 1 May 2025

Kirrilee Warr MLA

Shadow Minister for Local Government

Shadow Minister for Local Government, Kirrilee Warr MLA, has commended local governments across Western Australia for their strong financial management, as highlighted in the Auditor General’s 2023-24 Local Government Financial Audit Results, released this week.

The report reviewed the finances of 147 local governments, covering over $57 billion in assets and $5.2 billion revenue.

Ms Warr welcomed the positive outcomes highlighted in the report, which reflect the ongoing hard work of local governments in improving financial practices.

“It’s encouraging to see the Auditor General acknowledge the efforts of local governments in preparing for these audits and managing their finances effectively,” Ms Warr said.

“This year’s results show significant progress, with the number of qualified audits decreasing from 12 last year to just six. This is a notable improvement and demonstrates a commitment to better financial practices across the sector.”

“Financial management issues have also dropped significantly, from 800 two years ago to 512 in the last financial year. While there is always room for further improvement, this reduction shows the positive steps being taken across the sector and should be recognised,” she said.

The report also highlighted improvements to the timeliness of audits, with over 90 per cent of audits completed on time by the end of 2024.

Ms Warr also congratulated the regional local governments recognised as best practice entities in the report. Of the 20 local governments acknowledged for their excellence, 17 were from regional areas.

“It’s fantastic to see regional local governments, often with fewer resources than their metropolitan counterparts, leading the way in financial management,” she said.

“They are doing their very best for their ratepayers, and I’m especially proud to see Chapman Valley, where I served as Shire President, recognised for their efforts.”

The Auditor General also included a number of important recommendations for the Department of Local Government, Sport and Cultural Industries (DLGSC).

Ms Warr emphasised the need for the DLGSC to act on these recommendations to ease the administrative burden on local governments.

“Most notably, the DLGSC must finalise its valuations guide, which is expected by 30 June 2025. This guide will help improve the consistency and reliability of asset valuations across the sector and will be critical for future audits,” Ms Warr said.

“I look forward to seeing the DLGSC deliver on this commitment and ensuring that local governments can utilise it for the upcoming financial year.”

ENDS