It shall be the duty of any public transport company’s controlling authority to exercise their control over that company so as to ensure that the company appoints only auditors who, in addition to F1meeting the requirements of Part 42 of the Companies Act 2006 (statutory auditors) , are approved for appointment as auditors of that company by the Audit Commission for Local Authorities F2 and the National Health Service in England .

Where a public transport company’s controlling authority are a composite authority, the duty imposed by subsection (1) above is a joint duty of both or all of the component councils of that authority.

This section shall not apply to Scotland.