Independent report

The quality and effectiveness of audit: independent review

Independent review by Sir Donald Brydon into the quality and effectiveness of audit.

Documents

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This independent review, led by Sir Donald Brydon at the invitation of government, considered how the audit process and product could be developed to better serve the needs of users and the wider public interest.

The final report makes 64 recommendations, including the establishment of a new corporate auditing profession with a unifying purpose and set of principles.

It also makes recommendations in relation to:

  • the prevention and detection of material fraud
  • communication and transparency within the audit process and audit report
  • the role of shareholders and other stakeholders
  • reporting by companies on their approach to assurance and resilience
  • the effectiveness of companies’ internal controls over financial reporting

The recommendations are aimed primarily at the audit of Public Interest Entities (listed companies, and credit and insurance firms) in accord with the Review’s terms of reference.

Alongside the report we have published:

As part of the review, we launched a call for views on the quality and effectiveness of audit: we have published in full 118 of the 120 submissions received in response.

The review is the third of 3 audit reviews commissioned by government. It follows:

Published 14 February 2019
Last updated 18 December 2019 + show all updates
  1. Final report of the independent review published.

  2. Link to Call for views added.

  3. Advisory Board and Auditors’ Advisory Group list of members added

  4. First published.