A new audit era: Big Four must account for themselves in CMA shakeup

A new audit era: Big Four must account for themselves in CMA shakeup

  • March 2019 •
  • 14 pages •
  • Report ID: 5756881 •
  • Format: PDF
A new audit era: Big Four must account for themselves in CMA shakeup

Summary
Accounting has been marred by a wave of failures, and in the wake of this the UK Competition and Markets Authority (CMA) has conducted a review of the market.A range of proposals have been put forward to combat challenges within the industry, in which the four largest auditors dominate and multiple barriers to entry prevent challenger firms from gaining a foothold.

Concurrently, accounting as a discipline looks less and less effective at accurately reflecting modern businesses, and the field looks ready for reform.

Key Highlights
- Provides an outline of a number of recent financial accounting scandals: Carillion, Capita, Mitie
- Provides summary of recommendations from ongoing Competition and Markets Authority review
- Outlines potential future four statutory audit market, given ongoing competitive review and changes in accounting practises.

Scope
- Provides analysis of recent accounting scandals
- Provides summary of an ongoing Competition and Market Authority review into the statutory auditing market
- Evaluates likely impact of Competition and Market Authority review into statutory audit market - what is the future of the Big Four?

Reasons to buy
- What is the future of the Big Four?
- How will the statutory audit market change in the future?