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.