The government has abandoned plans to overhaul the audit market, with proposals for tough, statutory regulator to replace FRC dropped
This means that the Financial Reporting Council (FRC) will continue in its current status for now, meaning the new statutory regulator, the Audit Reporting and Governance Authority (ARGA) will not be created, while proposals for shared audit and more accountability for directors and audit committees will be shelved for now’.
Business minister Justin Madders MP confirmed the delay in a letter to the Business and Trade Committee this week, saying it was down to the heavy parliamentary legislative schedule, and suggested some of the reforms were ‘burdensome’ to businesses.
In the letter Madders stated: ‘Due to the current volume of legislation before parliament, the draft Audit Reform and Corporate Governance Bill will not be put forward for pre-legislative scrutiny in this session.
