Financial Reporting Council audit quality review

The UK’s Financial Reporting Council (FRC), soon to be re-named the Audit, Reporting and Governance Authority (ARGA), has published its annual reports ¹ setting out the key findings of its audit inspections, with the overall conclusion that the quality of audits of FTSE 350 was the same as last year, but as the results fell well short of the FRC’s target, they were considered unacceptable. Grant Thornton was singled out for its “sustained poor results”. This article sets out the key facts and themes in the FRC’s reports with a focus on the Big Four.