01142747576 bestadvice@knowleswarwick.com

MPs slam slow process for audit overhaul

23rd July 2020

The Government has been criticised for dragging its heels over revamping the audit system.

The Business, Energy and Industrial Strategy (BEIS) select committee reiterated calls for the Financial Reporting Council (FRC) to be replaced.

In October 2019, the BEIS suggested replacing the FRC with a more powerful regulator - the Audit, Reporting and Governance Authority (ARGA).

Ten months on and on the eve of summer recess, ministers stated the ARGA would be brought in "as soon as parliamentary time allows".

Darren Jones, chair of the BEIS committee, said:

"At a time when businesses are facing tough trading conditions and when their balance sheets are under significant pressure, it's important investors and other stakeholders can have confidence in audits.

"While the Government has a series of priorities at the moment, far more urgency should be shown to help drive through the reforms needed on audit and on corporate governance."

Last year, the BEIS committee suggested a full, structural break-up of the audit and non-audit services offered by the Big Four accountancy firms.

Get in touch to discuss your company.

Happiness is a Positive Cash Flow

Click here for the Quickbooks website Xero Gold Partner Accountants Sage accountants, experts in cloud accounting, Sheffield, South Yorkshire 

ICAEW Chartered Accountants Click here for the ACCA website Connect Yorkshire  Sheffield Chamber of Commerce Click here for the Caunce O'Hara website 

Knowles Warwick Financial Services Limited is authorised and regulated by the Financial Conduct Authority (in respect of regulated investment, insurance and mortgage business). For regulated financial services, the Financial Ombudsman Service is the alternative dispute resolution provider.