The Audit Rules

The regulatory framework for audit has three main elements:

the Financial Memorandum between your institution and the funding council. This is a key document; most institutions provide this to new governors on appointment. See HEFCE Model Financial Memorandum;
the Audit Code of Practice issued by the funding council. This includes both mandatory requirements and good practice guidance (the HEFCE Code is part of the Financial Memorandum - see above); and
the governing instruments of the university or college, including its charter and statutes or instrument and articles of government, together with the terms of reference and constitution of the audit committee.