Audit Quality Review: “Long-term improvement” still required, FRC says

Posted on July 28, 2022Categories Accounting Firms, Audit, audit quality review, FRC

Improvement is still required despite good results in the Financial Reporting Council’s latest audit quality review, as performance at Mazars and BDO remain “unacceptable”. The FRC revealed in its latest audit quality review of the largest audit firms, that 75% of audits inspected were good or required “limited improvement”. However, a quarter of the overall audits inspected were below par. “While it is encouraging to see some improvement in audit quality at the largest audit firms, consistent, long-term improvement is … Continue reading “Audit Quality Review: “Long-term improvement” still required, FRC says”

Accounting watchdog fines Laura Ashley auditor over “serious” breaches

Posted on July 22, 2022Categories Administration, Audit, Business, Uncategorized

UHY Hacker Young, the auditor of the fashion retailer Laura Ashley which fell into administration amid the pandemic, has been “severely reprimanded” by the Financial Reporting Council (FRC) over “serious” breaches. The FRC has imposed sanctions against UHY Hacker Young and Martin Jones, audit engagement partner, in relation to the statutory audits of the financial statements of Laura Ashley Holdings for the financial years ended June 30, 2018, and June 30, 2019. “The breaches in this case were serious and … Continue reading “Accounting watchdog fines Laura Ashley auditor over “serious” breaches”

Audit firms asked to address exam cheating following Big Four scandals

Posted on July 22, 2022Categories Accounting Firms, Audit, Big Four, exam, FRC, News

The UK’s accounting watchdog has called on audit firms and professional bodies to ensure exam cheating does not occur in the UK following reports of staff at Big Four firms cheating at exams in the US, Canada and Australia. The Financial Reporting Council (FRC) wrote to the CEOs of the largest auditors of UK listed companies last week, to express how “deeply concerned” it is about these events and “the potential impact” on UK audit firms. “Given the severity and … Continue reading “Audit firms asked to address exam cheating following Big Four scandals”