Outlook: Rotations won't necessarily solve the auditing problem
Outlook The Co-operative Bank never got anywhere close to the size of RBS, and it hasn't (so far) called upon the taxpayer for funds. It's worth remembering the latter point. All the same, the two rival each other when it comes to the sheer ineptitude that their difficulties have put on display.
Partners at KPMG arrived before the Treasury Select Committee yesterday, ostensibly as part of a members' investigation into the Co-op's failed attempt to take over Verde from Lloyds Banking Group. In reality it's an investigation into the near failure of the Co-op Bank.
KPMG did most of the due diligence work on the bank's takeover of Britannia Building Society. But crucially it didn't run the slide rule over Britannia's corporate loan book, the main cause of the £1.5bn hole in the bank's books. Which rather gets the firm off the hook for the Co-op's subsequent problems. KPMG said management seemed competent and asked the right questions. Of course they did.
KPMG had done the Co-op's auditing for 30 years. What I can't decide is whether all this is a good argument for mandatory rotation of auditors or whether it just raises further questions about the function of audits and auditors.
- 1 Games of Thrones actor Lena Headey makes emotional promise to her unborn daughter
- 2 Isis burns woman alive for refusing to engage in 'extreme' sex act, UN says
- 3 Puerto Rico, island of lost dreams: People are leaving the debt-hit territory in droves as near neighbour Cuba's star rises
- 4 Female Muay Thai champion hustles coaches to give them a beating
- 5 Picture of couple posing with beached dolphin 'that later died' causes outrage
Isis burns woman alive for refusing to engage in 'extreme' sex act, UN says
Purity balls: Girls in the US making virginity pledges as fathers vow to 'protect purity'
Puerto Rico, island of lost dreams: People are leaving the debt-hit territory in droves as near neighbour Cuba's star rises
Female Muay Thai champion hustles coaches to give them a beating
16-year-old girl beaten and burned alive by lynch mob in Rio Bravo, Guatemala
As a white man, I'm surprised more women aren't tweeting the hashtag #KillAllWhiteMen
Scotland may have to leave the EU even if it votes to stay in, David Cameron confirms
Report finds that Britain's wages are the most unequal in Europe
The day that Britain resigned as a global power
Almost a third of school pupils believe 'Muslims are taking over our country', study claims
SNP fury as HS2 finds 'no business case' for taking fast train service to Scotland
iJobs Money & Business
£40-50K: Guru Careers: We are seeking an experienced Software / C# Developer w...
£45,000 - £55,000: Neil Pavier: Are you looking for your next opportunity for ...
£45,000 - £55,000: Sheridan Maine: Are you a newly qualified ACA/ACCA/ACMA qua...
£50,000 - £60,000: Laura Norton: Are you looking for an opportunity within a w...