FTSE 350 Audit Committee Chairs pleased with audit quality

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23 Nov, 2015

Results of a survey seeking to understand what FTSE 350 Audit Committee Chairs (ACCs) think about audit quality indicate that they “generally view the quality of their current auditors in a very positive light”.

This is the conclusion from the latest Audit Committee Chairs Survey 2015 overseen by the Financial Reporting Council (FRC).  All FTSE 350 ACCs and a number from those outside of the FTSE 350 were sent the survey of eight questions on audit quality.  The results indicate:

  • Feedback on audit quality was “overwhelmingly positive”.  A number commented that the quality of the audit engagement partner was “crucial” to their assessment of the quality of the audit.
  • The highest score was in response to the degree at which the external auditor exhibited independence and objectivity.
  • Lowest scores were rated for the level of professional scepticism demonstrated by the external auditor and the quality of the external auditor’s response to regulatory oversight, suggesting further work in these areas is still required.

The press release along with a letter sent to the ACCs summarising the results of the survey are available on the FRC website.  Our news article summarising the FRC’s Audit Quality Inspection Annual Report for 2014/15 is available here.

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