The Annual Governance and Accountability Return (AGAR)

The Annual governance and Accountability Return (AGAR) is the formal set of documents that parish councils must complete each year to demonstrate that they are managing their finances properly and operating in line with legal and governance requirements.

It includes three main parts:

• Annual Governance Statement – where the council confirms it has appropriate systems, controls, and procedures in place.
• Accounting Statements – a summary of the council’s income, expenditure, and balances for the financial year.
• External Auditor Report – an independent review to confirm compliance (where applicable).

The AGAR ensures transparency and accountability, giving residents, auditors, and other stakeholders assurance that public money is being managed responsibly. It is also subject to a period of public inspection, allowing electors to review the council’s financial records.