Iain Murray explains why performance audit skills matter – and how CIPFA’s new qualification can help.
As a public finance student you spend a lot of time learning how money is managed, reported and accounted for.
But an equally important question is increasingly coming to the fore: how do we know whether that spending is actually making a difference where it matters?
That is where performance auditing fits in.
Financial audit will always be essential. It provides assurance that money has been spent properly and reported accurately. Performance audit looks at something different – whether policies and services are delivering the outcomes they were intended to achieve.
In practice, that means going beyond the numbers. It involves assessing effectiveness, value for money and the wider impact of public spending, including social and environmental outcomes. As demand for services grows and resources remain tight, this kind of insight is becoming more important across the public sector.
For those starting out in the profession, this is an area worth paying attention to. Performance auditing is developing as a distinct skillset, requiring analytical thinking, sound judgement and the ability to evaluate complex programmes in real-world conditions. These are skills that translate well beyond audit roles and into wider finance, policy and operational positions.
CIPFA is introducing a new Performance Audit Qualification (PfAQ) to support the development of these capabilities. Launched in April 2026, the qualification’s emphasis is on practical application; in other words, how performance audits are carried out, rather than purely theoretical study.
For students, this reflects a broader shift in what employers are looking for. Alongside technical accounting knowledge, there is growing demand for professionals who can assess outcomes and demonstrate value for money.
Performance auditing supports that shift. It strengthens transparency and accountability but also gives finance professionals a more complete view of how public services are performing.
As pressures on the public sector continue, being able to answer not just “what was spent?” but “what did it achieve?” will become an increasingly important part of the job.
- Iain Murray, Director of Public Financial Management, CIPFA
