Deloitte wins £17m CRH audit
Deloitte is to take over as auditor of FTSE 100 building firm CRH, replacing EY which has held the post since 1988, in win set to bring in fee income of around €20m (£17m)
12 Mar 2019
In its 2018 annual report, CRH said its audit committee had overseen an audit tender process, which had seen three firms invited to tender. EY was not asked to participate due to the length of the firm’s tenure.
The proposals received, and other activities conducted, were evaluated against the following criteria: audit quality; cultural fit; corporate fit; and experience. Following evaluation of the proposals and activities, which was done on a ‘fee blind’ basis, it was agreed to invite two of the firms to make final presentations to the committee and group finance director, with Deloitte emerging as the final choice as CRH’s auditor for the financial year ending 31 December 2020.
CRH said: ‘Whilst the committee appreciated the quality of the proposals presented by all the firms, it believes that the strength and experience of Deloitte’s team best met the predefined criteria it had set.’
The appointment will be subject to a confirmatory advisory vote at the 2020 annual general meeting.
According to the annual report, EY was paid a total of €20m for audit related services at CRH, plus an additional €1.2m for non audit work in 2018.
Report by Pat Sweet