Public Sector Accountant

What is the work like?

Public sector accountants are responsible for making sure that public organisations' financial management is effective and efficient, and makes the best use of public money. Examples of public organisations include central and local government, the National Health Service (NHS), colleges, housing associations and charities.

Public services usually have a fixed budget each year. Public sector accountants safeguard public money and advise departments on how to organise and improve the service they offer. Their responsibilities may include:

• preparing budgets and final accounts
• controlling expenditure and cash flow
• monitoring how money is spent
• making sure that legal records of financial transactions are kept properly
• developing and managing systems for recording income and expenditure
• auditing (verifying) accounts
• developing short and long-term strategies with the management team
• advising on corporate risk, including safeguarding assets, risk avoidance and insurance
• advising on an investment strategy for management
• supporting organisations' decision-making
• advising on anti-fraud and anti-corruption strategies and measures
• reporting on performance.

Accountants may work in the finance or internal audit function of an organisation. Alternatively, they may work for an accountancy firm that offers professional accounting services to public bodies. These services involve meeting clients, advising them on their accounting procedures, and helping them to make the most of their resources. Accountants may specialise in a particular area, eg audit, taxation or financial control.

Accountants may also work as external auditors, eg for the Audit Commission or National Audit Office, monitoring public sector financial activities.

Hours and environment

Public sector accountants usually work standard office hours, Monday to Friday. Work beyond these hours may be required, especially during peak times, such as the end of the financial year, or to meet deadlines. Many organisations have flexible working hours. Part-time work and job sharing may be possible.

Public sector accountants work in an office, often at a computer, and usually as part of a larger team. Smart dress is usually required. Accountants may spend some time out of the office visiting clients and attending meetings. Some may have to travel long distances and spend time away from home. They may work abroad if their organisation has international links.

Salary and other benefits

These figures are only a guide, as actual rates of pay may vary, depending on the employer and where people live.

• Salaries for trainees may be between £17,000 and £25,000 a year.
• Qualified accountants may earn up to £50,000.
• Those in senior positions may earn up to £120,000.

Skills and personal qualities

A public sector accountant should:

• have a good level of numeracy
• have good IT skills
• have excellent communication skills, both spoken and written
• be able to work under pressure and to deadlines
• have integrity
• have good research, analytical and problem-solving skills
• be able to build trust and handle confidential information with discretion
• work well as part of a team
• be comfortable taking responsibility for his or her decisions.

Interests

It is important to:

• have a strong interest in finance
• like working with people.

Getting in

Public sector accountants are employed throughout the UK, mainly in large towns and cities. Their number has increased in recent years but the economic downturn has led to fewer openings, as employers' budgets have tightened. Employers include:

• local authorities
• the Civil Service
• the NHS
• the Audit Commission and the National Audit Office
• schools, colleges and universities
• housing associations
• police authorities
• non-profit-making charities and trusts
• accountancy firms that offer professional accounting services to public sector organisations.

Vacancies may be advertised in local and national newspapers, and in publications such as Accountancy and Accountancy Age. They may also be advertised on The Chartered Institute of Public Finance and Accountancy (CIPFA) vacancy website (www.pfjobs.co.uk) and on recruitment agency websites. CIPFA also publishes lists of trainee vacancies.

Entry routes

There are different entry routes:

• graduate training schemes - entry is with a degree. No particular degree subject is required, although subjects such as accounting, finance, business studies, management studies, maths and economics are the most relevant. Employers often ask for at least a 2.1 or a 2.2 degree. This is the most usual entry route, although very competitive.
• trainee accountant - entry is usually with at least A levels or equivalent. On starting work, many trainees work towards CIPFA's professional qualification. Entry requirements for the qualification are two A levels and three GCSEs (A*-C), including English and maths. Alternative qualifications are accepted, including BTEC National Certificates/Diplomas, the Advanced Diploma in business, administration and finance and NVQs at Level 3. The normal entry requirements for CIPFA's professional qualification are waived for people who are 21 or over and have at least three years' relevant work experience.
• accounting technician - some qualified accounting technicians progress to professional accountancy training. CIPFA offers exemptions from some of their professional exams to students who hold the Association of Accounting Technicians' (AAT) Accounting Qualification. See also the article on Accounting Technician.
• transfer from other areas of accountancy - accountants who have trained in industry and commerce or private practice may transfer into public sector accountancy. They would normally have a professional accountancy qualification awarded by the Association of Chartered Certified Accountants (ACCA), the Chartered Institute of Management Accountants (CIMA) or the Institute of Chartered Accountants in England and Wales (ICAEW)

Training

Entrants are trained by their employers. CIPFA focuses specifically on public finance, so many entrants study for CIPFA's professional qualification. This consists of three stages:

• Certificate level - includes financial accounting, management accounting, financial reporting, and financial management systems and techniques
• Diploma level - includes audit and assurance, leadership and management, financial and performance reporting, accounting for decision making, governance and public policy, public finance and taxation
• Final Test of Professional Competence - includes strategic business management, and a finance and management case study.

Study is by day release, block release or open learning and can take around three years. Students with relevant qualifications may be exempt from some modules of the qualification. Successful completion of the three stages leads to chartered public finance accountant status.

Trainees with some employers work towards a different accountancy qualification. The National Audit Office's graduate trainees, for example, work towards the ICAEW chartered qualification.

All professionally qualified accountants are required to undertake continuing professional development (CPD). CPD can include such activities as undertaking research, or attending courses and conferences.

Getting on

Most public sector organisations have formal promotion structures. It is possible for qualified accountants to progress to senior management positions such as chief executive, director of finance or board director. Some accountants move between employers to progress more quickly.

The CIPFA qualification is recognised in industry, commerce and private accountancy firms, so public sector accountants may transfer to work in these areas.

Some experienced public sector accountants set up their own accountancy businesses.

Work abroad is possible.

Further information

Association of Accounting Technicians (AAT), 140 Aldersgate Street, London EC1A 4HY. 0845 863 0800. Website: www.aat.org.uk

Association of Chartered Certified Accountants (ACCA Connect), 2 Central Quay, 89 Hydepark Street, Glasgow G3 8BW. 0141 582 2000. Website: www.accaglobal.com

Chartered Institute of Management Accountants (CIMA), 26 Chapter Street, London SW1P 4NP. 020 8849 2251. Website: www.cimaglobal.com

The Chartered Institute of Public Finance and Accountancy (CIPFA), 3 Robert Street, London WC2N 6RL. 020 7543 5600. Website: www.cipfa.org.uk

Institute of Chartered Accountants in England & Wales (ICAEW), Level 1, Metropolitan House, 321 Avebury Boulevard, Milton Keynes MK9 2FZ. 01908 248 100. Website: www.icaew.com

Local Government Careers. Website: www.lgcareers.com

Further reading

Chartered Public Finance Accountant - www.prospects.ac.uk

Progression to Economics, Finance and Accountancy - UCAS

Real Life Guides: Business, Administration and Finance - Trotman

TARGETjobs Accountancy and financial management - GTI at www.targetjobs.co.uk/accountancy-and-financial-management

Magazines/journals

Accountancy

Accountancy Age

Public Finance - CIPFA

(Some may be priced)

May 2010

Return to job article page