Britain’s accountancy watchdog is tightening regulations for Britain’s biggest audit firms as the sector faces heavy criticism following a series of high-profile financial scandals.
The Financial Reporting Council has announced a consultation on enhanced powers to support the registration of auditors of so-called public interest entities, the FRC said in a statement on Thursday.
The agency said it currently does not have enough muscle to address “systemic issues” and must rely on the powers of oversight bodies.
“Having direct responsibility for the registration and oversight of PIE auditors will enable the FRC to act more quickly and effectively when systemic issues are identified in these audits,” said Sarah Rapson, Executive Director of Oversight at FRC. .
Auditors under intense scrutiny from London courts
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