THE London Stock Exchange is to replace PwC as its auditor with EY, the first time the exchange has changed auditors since it listed in 2001.
In December, the exchange announced it was putting the audit out to tender “in light of the increasing diversification, scale and reach of [the group], and also in line with good corporate governance”
The process was overseen by the LSE’s audit committee, while the appointment will take place shortly after the completion of the audit of its consolidated accounts for the year ended 31 March
The appointment of EY by the board will take place shortly after the completion of the audit of its consolidated accounts for the year ended 31 March 2014.
In a statement, it thanked PwC for the “the high quality of its audit services provided”.
The UK’s imminent exit from the EU that may now put the audit committee to the ultimate test
Audit tendering has turned from good practice to legal practice under the EU audit reforms
Businesses will have to think more strategically about where they can source those non-audit services in the future
The FRC has raised concerns that the FTSE 350 audit market remains highly concentrated among the Big Four despite high levels of tendering and rotation