Please ensure Javascript is enabled for purposes of website accessibility
January 30, 2023

Brits Want to Make Wrist Slaps for Big 4 Auditors Slightly More Uncomfortable

Britain's audit regulator, the Financial Reporting Council's accountancy and actuarial discipline board (AADB), has decided that even though its fine of £1.4 million of PwC in January was a record, it really didn't satisfy as a "credible deterrent." Accordingly, the AADB is floating some ideas on how to make the fines a little less "meh" by asking the tribunals that assess fines to "[give] formal guidance on setting fines […] reducing their dependence on precedents set by previous cases that might be as much as two decades old." Of course, even if the AADB had assessed the penalty it wanted, it would have amounted to just over 1% of PwC's UK revenues of £2.4 billion; a wrist slap that would have left a bit of red mark as opposed to no mark at all. [FT]

Latest Accounting Jobs--Apply Now:

Have something to add to this story? Give us a shout by email, Twitter, or text/call the tipline at 202-505-8885. As always, all tips are anonymous.

Related articles

RSM US Finally Might Be Taking Audit Quality a Little More Seriously, According to 2021 PCAOB Inspection Report

Based on the 2021 PCAOB inspection reports we’ve reviewed so far, the audit firm that would win the “most improved” award is RSM US. From 2017 to 2020, RSM had an average yearly audit failure rate of 42%, including failing 46% of its audits reviewed by PCAOB inspectors in 2020. But during the most recent […]

a father and son in front of the Martin Luther King Jr. Memorial in Washington, DC

Remembering the Time Everyone at PwC Had to Work on MLK Day As a Noble Gesture to Honor Dr. King

The following message we’re about to share with you was sent out as a firmwide email from then-Chairman Dennis Nally to everyone at PwC almost exactly 15 years ago to the day. To my knowledge it’s never been published here, because back when it went out to everyone working at PwC US in January 2008, […]