From Polly Peck to Satyam, recurring audit failures have undermined investor confidence in corporate governance. The Institute of Chartered Accountants in England and Wales and the Financial Reporting Council hope to address those concerns through its newly published “Audit Firm Governance Code”. This comply or explain Code will apply to the eight largest U.K. accounting firms which collectively are responsible […]
Read MoreThe UK’s Financial Reporting Council (FRC) has warned against companies signing up for “bundled audits” pending completion of a review into the ethical questions surrounding their use. As we reported in August, the downturn has encouraged the development of a new type of audit which blends internal and external audit. Rentokil claims to have achieved a […]
Read MoreThe iSoft conspiracy case has moved on another step with the announcement by the Financial Reporting Council that its Accountancy and Actuarial Discipline Board has called a disciplinary hearing to investigate a formal complaint against a member of the Institute of Chartered Accountants in England and Wales in relation to the issues brought out by […]
Read MoreThe Accounting Standards Board (ASB) published the results of its review of narrative reporting on 29 October, and its release was trailed by separate reports from PricewaterhouseCoopers (PwC) and Deloitte. PwC “recognise that reporting is not made easy by the regulatory demands imposed on all companies today, but sadly too many reports display the dead […]
Read MoreThe Auditing Practice Board has published 137 responses to its consultation on audit firms providing non-audit services to listed companies that they audit. A consistent theme in may of the responses is a call for further transparency in disclosures in accounts of listed companies in relation to the non-audit work undertaken by the auditor. While […]
Read MoreA European Group of Auditors’ Oversight Bodies has been set up by the European Commission. The group will ensure effective coordination of new public oversight systems of statutory auditors and audit firms within the European Union and may also provide technical input to the preparation of the Commission implement the 8th company law directive covering […]
Read MoreA survey of 75 fund managers has revealed that this year’s adoption of International Financial Reporting Standards (IFRS) has already begun to affect investment decisions according to PricewaterhouseCoopers (PwC). The results show that 47% said information reported under IFRS had direct influence on decisions, 29% that it had influenced their decisions to move their investment […]
Read MoreThe UK’s Auditing Practices Board (APB) has decided to defer its revision of the International Standard on Auditing (UK and Ireland) 700 (ISA 700) on the auditor’s report on financial statements, which it published for consultation in December 2004. It believes that forthcoming changes to UK company law, the revision of the EU’s 8th directive […]
Read MoreEuropean internal commissioner Charlie McCreevy recognised that the current early stages of adoption of International Financial Reporting standards (IFRS) raised challenges in application and interpretation speaking at a recent European Federation of Accountants’ seminar on IFRS. In particular, he said there needed to be broader arrangements for consistent application at company level, and McCreevy mooted […]
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