The UK’s new government should just ‘get on with’ audit reform, Rishi Sunak writes

One of the largest trade bodies in the UK’s accounting sector said that the new British government should just “move forward” with plans for reforming the audit sector to ensure long-term stability of Britain’s economy.

The CIA chief urged the British government to “remain fully dedicated” to the audit reform plans laid out by the Queen in her address earlier this year. .

The CIA urged the government to implement plans to reform the UK’s auditor sector by creating an ARGA regulator to replace the FRC and to reduce the dominance by the Big Four by requiring them to share audit work.

These letters to UK’s new Cabinet are similar to those sent weeks ago by the CIA to Liz Truss’s government, urging her to continue to transform the audit sector.

Letters to the government state that the ‘challenges’ faced by British companies in an “increasingly uncertain, economically volatile world” make audit reform’more urgent than ever’. It demands that the government implement plans despite ‘urgent concerns’. You are currently facing.

According to the audit body’s letters, companies and investors need “high quality, accurate, and effective audits” in order to weather the storms currently affecting the global economy.

CIIA letters noted that audit scandals in past years, including those surrounding BHS Thomas Cook, Patisserie Valentine and Carillion have cost taxpayers millions and caused thousands job losses. They argued that strong governance and auditing could have “averted those losses.”

The CIA called on the UK government “to move forward” with plans of overhauling the audit industry, setting a timeline for reforms and passing any legislation “when Parliamentary space permits”.