This site uses cookies to provide you with a more responsive and personalised service. By using this site you agree to our use of cookies. Please read our cookie notice for more information on the cookies we use and how to delete or block them.
The full functionality of our site is not supported on your browser version, or you may have 'compatibility mode' selected. Please turn off compatibility mode, upgrade your browser to at least Internet Explorer 9, or try using another browser such as Google Chrome or Mozilla Firefox.

FRC publishes annual audit quality inspection result 2020/21

  • FRC Image

28 Jul 2021

The Financial Reporting Council (FRC) has published individual audit quality inspection reports for the major audit firms.

The results highlight that 29% of 103 audits reviewed required “improvements” or “significant improvements”. 71% of audits were assessed to be of a “good standard” or requiring only “limited improvement”.

The FRC acknowledged that quality across the individual firms was more mixed than in 2019/20 and has published measures that individual firms will be required to implement in response to individual inspection findings.

The FRC also flagged recurring findings in relation to the audit of revenue, impairment of assets and group audit oversight. There were mixed findings in relation to the effective challenge of management of audited entities, with same examples of good practice but not on a consistent basis.

The press release and links to individual reports are available on the FRC website.

Correction list for hyphenation

These words serve as exceptions. Once entered, they are only hyphenated at the specified hyphenation points. Each word should be on a separate line.