This paper provides an analysis of the role of the National Audit Office (NAO) in the monitoring of the process of privatisation based upon a review of the twenty-six reports on privatisations issued up to the end of 1993. The paper deals with two particular issues: the extent to which it is appropriate for the NAO to investigate the structural form selected for a particular privatisation and the extent of post-privatisation monitoring. Outstanding issues include the sensitivity of audit work that comes close to matters of government policy and the boundaries of the activities of various monitoring bodies after privatisation .