Audit / Government ‘kicking audit reforms into the long grass’

MPs have accused the government of dragging its feet over reforms to the audit market, with the Business, Energy and Industrial Strategy (BEIS) committee calling for faster action, warning of the risks of becoming bogged down in further consultations with three major reviews already in hand

Audit / Woolf: no improvement in standard of audit work

Auditors will never be able to fulfil their responsibilities until regulators ensure accounting rules are fit for purpose, while pressure from client companies has led to legacy misstatements and the Big Four audit firms simply set aside contingency for multimillion pound fines, says Emile Woolf FCA

Audit / Grant Thornton shakes up top audit team for second time

Mid-tier firm Grant Thornton has changed its audit leadership team for the second time in a year with the appointment of Fiona Baldwin as head of audit, reporting directly to the CEO, reports Sara White

Audit / EXCLUSIVE: FTSE 250 audit fees exceed £200m for first time

Amid falling quality and a lack of competition, audit fees for FTSE 250 companies increased 6% in the last year, hitting £203.6m, in a market dominated by the Big Four audit firms, according to exclusive research by Accountancy Daily

Audit / FTSE 250 Auditors Survey 2019

In the exclusive Accountancy Daily survey of the FTSE 250, the stranglehold of the Big Four auditors on the £274m audit market highlights a complete failure to create a competitive audit market, with mid-tier firms standing on the sidelines, failing to grasp more than a handful of opportunities. Philip Smith analyses current audit fees, non-audit services and tender activity, assessing whether the market can be reformed 

Audit / Audit updates: June 2019

In this month’s audit updates, FRC reveals final plan and budget, KPMG in £5M Co-Op Bank fine, Mazars bags Goldman Sachs audit, ‘opinion shopping’ hides red flags, Laura Ashley audit fines, Anglo American ditches Deloitte and IAASB consults on audit simplification

Audit / Gama Aviation flips auditor in switch to PwC

AIM-listed global aviation services company Gama Aviation plc has switched auditor, moving to a Big Four firm as it ends its audit engagement with mid-tier firm Grant Thornton after five years

Audit / Head of AQI inspections replaced by PRA's David Rule

The Financial Reporting Council (FRC) has confirmed that Mike Suffield, acting executive director of audit and actuarial regulation is to step down after a year in post, with a central banking regulator seconded to head up audit firm monitoring and supervision

Audit / FRC overhaul sees plan to hire 80 staff as budget increases

The Financial Reporting Council (FRC) is to increase its budget significantly in 2019/20 to £37.8m and plans to hire additional staff to improve its oversight and monitoring of audit firms, and support its transition to a new regulatory body

Audit / Mazars to audit Goldman Sachs in Europe

Goldman Sachs has broken with tradition and appointed Mazars to audit its European arm, the first time the US bank has chosen an auditor outside the Big Four, in a major coup for the mid-tier firm

Audit / AIM-listed miner GoldStone flips auditor

AIM listed mining exploration company GoldStone Resources has switched auditors after two years in a move to DSG Accountancy and Business Services

Audit / Over a third of audits fail quality test, says IFIAR

One in three audits carried out by member firms of the six largest global audit networks are judged deficient in some way with fair value judgment frequently cited as a key problem area, finds global audit regulatory forum

Audit / Audit and quality management: ISQM 2 – part 3

In the third part of our series on reforms to auditing standards, Katharine Bagshaw FCA examines the exposure draft on International Standard on Quality Management (ISQM 2) Engagement Quality Reviews, including its applicability for smaller firms

Audit / Only one in four understand role of auditors

Only one in four people in the UK know what an auditor does, compared to a worldwide average of one third, while over half of those in an ACCA poll believed it is auditors who are responsible for avoiding company failures

Audit / ‘Opinion shopping’ for auditors reduces business red flags

Over half of US businesses facing financial problems go ‘opinion shopping’ for auditors to try to override unfavourable going concern opinions at the expense of auditor independence and investor interests, a US study has found