A break-up of Britain’s big four accountancy firms could end their dominance in auditing the accounts of large companies and address a crisis of confidence facing the sector after a series of scandals, a UK regulator has suggested. The aim would be to increase competition and eliminate conflicts of interest arising from the dominance of the four firms. A previous inquiry into the dominance of the big four by the UK Competition Commission – now replaced by the CMA – resulted in tougher rules for the accountancy sector being introduced in 2013. Measures included a requirement that FTSE 350 companies put their audit business out to tender at least every 10 years. Following a BEIS committee evidence session, Reeves suggested the auditors had a role to play in the collapse of the company.

Source: The Guardian March 16, 2018 14:03 UTC