As the accounting regulator, the FRC has disciplinary powers in relation to misconduct by accountants and, through the Financial Reporting Review Panel, can also require a company to restate its financial statements.

The FRC does not have powers to monitor or require restatement of unaudited trading statements.

It will consider the outcome of the investigation announced by the company and determine whether it should take regulatory action.

At the moment, the rules on interim reporting audits are outside the remit of the FRC.

In terms of the current rules, FRC told Accountancy: 'The requirements for the audit of interims of listed companies are primarily established by the Financial Conduct Auhtority (FCA) in their Disclosure and Transparency Rules.

'The FRC has published a standard on the provision of assurance on interim financial statements in ISRE 2410.

'The FCA Rules do not require the half yearly financial report to be audited or reviewed but if they are, auditors are required to follow ISRE 2410 and the audit or review report must be reproduced in full. If they are not audited or reviewed by auditors, the issuer must make a statement to that effect in its interim report (DTR 4.2.9R)'.

On Monday Tesco announced it had appointed Deloitte and Freshfields to conduct an investigation into the accounting issues which the company said was ‘principally due to the accelerated recognition of commercial income and delayed accrual of costs.’

Tesco says the errors relate to the UK food business and says its interim results, due on 1 October, will now be announced on 23 October, when the company is also promising a further update on what has happened.

Earlier this week Tesco suspended four senior executives, including the CEO and UK finance director, pending the results of the investigation. It has also brought on board its new finance director, Alan Stewart, who will now start work immediately rather than 1 December, after leaving his post at Marks & Spencer.