James Moore: Commission drops the ball on auditor rotation
Outlook One aspect where lots of companies could do with improving their housekeeping is in the rotation of auditors.
Corporate brokers may come and go, but auditors typically stay put. Some 80 per cent of FTSE 100 companies haven't changed their auditor for 10 years.
Yesterday, the UK Shareholders' Association weighed in on this debate, criticising the Competition Commission (CC) for its decision not to go ahead with mandatory rotation of auditors as part of a review into a market dominated by the Big Four accountants.
The CC's intentions are good, but in dropping mandatory rotation in favour of measures such as strengthening the auditors' regulator, it may have dropped the ball. The audit regulator, as the association says, is not accountable to shareholders. Auditors should be, but the suspicion has long been that because company bosses hold the purse strings, they call the tune.
Forcing rotation would help prevent relationships getting too cozy. The CC should heed the association's views and give its proposals a spring clean.
- 2 Exclusive: Abusers using spyware apps to monitor partners reaches 'epidemic proportions'
- 3 Andy Murray takes to Twitter to show off his Christmas jumper
- 5 Top 10 travel destinations for 2015: From Haiti and Alaska to Namibia and Iceland
PlayStation and Xbox hacked by Lizard Squad
Exclusive: Abusers using spyware apps to monitor partners reaches 'epidemic proportions'
Dublin court rules brain-dead pregnant mother's life support can be switched off
Margaret Thatcher 'expressed fears of Asian rising' at Anglo-Irish summit in 1984
The 'Black Museum': After 150 years, public set to see exhibits from police’s grisly crime museum
British actor Idris Elba cannot star as James Bond because he is black, says shock jock Rush Limbaugh
Rozanne Duncan: Ukip expels councillor for 'jaw-dropping' comments made in BBC TV interview
Germany anti-Islam protests: 17,000 march on Dresden against 'Islamification of the West'
Ukip member gets into Christmas spirit with Union Flag plea to Santa 'for our country back'
BBC director Danny Cohen: Rising UK antisemitism makes me feel more uncomfortable than ever
Katie Hopkins speaks out on childhood obesity: 'Parents of fat children should be prosecuted for child cruelty'
iJobs Money & Business
Not specified: Selby Jennings: VP/SVP Credit Quant Top tier investment bank i...
Not specified: Selby Jennings: Quantitative Research | Global Equity | New Yor...
Not specified: Selby Jennings: SVP Model Validation This top tiered investment...
Highly Competitive: Selby Jennings: Our client, a leading European Oil trading...