Audit / AQI 2019: ‘disappointing’ lack of improvement in audit quality

The Financial Reporting Council has made a scathing attack on the quality of UK audit in the latest 2019 Audit Quality Inspections reports, with one in four audits inspected requiring significant improvement. Sara White reports

Audit / Regulator hands out record £43m fines for bad audit

The Financial Reporting Council (FRC) has given leading audit firms a record £43m in fines for sub-standard audits marking a threefold increase in one year, while individual partners have been hammered with £1.6m in personal fines 

Audit / Code of Audit Practice will retain principles-based approach

The National Audit Office (NAO) has set out the framework for a revised Code of Audit Practice for public sector auditors with a sharper focus on value for money and clearer reporting, while retaining the current principles-based approach

Audit / Grant Thornton stays silent on auditor resignation claims

Grant Thornton has refused to comment on claims that it is planning to resign as auditor of Sports Direct following the delay in the release of the group’s annual results over a disputed tax bill which could have had a material impact on the accounts

Audit / PwC picks up £2.6m FirstGroup audit

FTSE 250 bus and train operator, FirstGroup plc, plans to switch auditors with the appointment of PwC to replace rival Big Four firm Deloitte who has been in post for 20 years

Accounting / Grant Thornton set to retain Sports Direct audit

Sports Direct has hit out at claims that it is looking to replace its auditor Grant Thornton after delaying the release of its preliminary results, stating that it plans to reappoint the mid-tier firm for another year subject to a vote at this year's AGM

Audit / KPMG ditched as administrators of Patisserie Valerie

Creditors of café chain Patisserie Valerie have dropped KPMG as administrators after conflicts of interest arose relating to Grant Thornton, the auditor for both businesses

Audit / Audit firms to report to FRC on staff misconduct

From October, the six largest audit firms will be required to provide the Financial Reporting Council (FRC) with regular updates on any instances of bullying and harassment, and details of action taken, in the wake of a series of scandals involving senior staff

Audit / MPs air concerns over Dingemans appointment to chair FRC

Simon Dingemans has been officially appointed as chair of the Financial Reporting Council (FRC) after an approval hearing in front of the Business, Energy and Industrial Strategy (BEIS) committee of MPs, who have urged him to be more challenging

Audit / Two thirds of businesses say audit fails to meet needs of investors

PwC is calling for statutory audits to provide more information about companies’ risks and future prospects following research into audit effectiveness which found that the majority of businesses and investors criticise the current audit process

Audit / HMRC chief Thompson quits in move to head audit regulator

Sir Jon Thompson is to leave the top post at HMRC after just three years to take on the role of chief executive at the troubled audit regulator, Financial Reporting Council (FRC)

Audit / Government consults on plans for overhaul of audit market

Plans for a radical overhaul of the audit market are progressing as the government launches an eight-week consultation to gauge views on CMA market reforms, including possible introduction of joint audits, operational split at Big Four to hive off audit, and more powers for the new audit  regulator

Audit / FRC to tighten auditing and ethical standards

The Financial Reporting Council (FRC) is to introduce more stringent ethical rules for auditors in response to findings from recent audit enforcement cases and audit inspections

Audit / ‘Complexities’ force delay in Sports Direct annual results

Sports Direct has delayed the publication of its annual results, citing the ‘complexities’ relating to its purchase of House of Fraser last August and a request from auditor Grant Thornton for more time

Audit / IIA consults on code of practice to raise internal audit standards

The Chartered Institute of Internal Auditors (IIA) has begun a consultation on an internal audit code of practice in the wake of high-profile corporate failures