Auditors’ watchdog

THE watchdog which oversees Britain’s auditors is to be scrapped and replaced with an independent body.

It comes as the role of the big four accountants – KPMG, Deloitte, PwC and EY – comes under scrutiny, sparked by the failures of Carillion and BHS and the ensuing criticism of how they were audited. The Financial Reporting Council will be replaced by the Audit, Reporting And Governance Authority after a review by Legal & General chairman Sir John Kingman.

Business Secretary Greg Clark said the new watchdog will help strengthen public trust in businesses.