UK - Sweeping reforms on the way auditors operate are being introduced by the government to help restore investor confidence in equities.
Proposed reforms unveiled by trade and industry secretary Patricia Hewitt will force companies to rotate their auditors regularly and impose limits on the extra services auditing firms can offer.
The proposals also call for audit committees to start acting in shareholders’ and not companies’ interests. These committees, it says, should be made up entirely of independent non-executive directors.
The Office of Fair Trading is also being asked to examine the big four accounting firms and their monopoly on the auditing of large corporations.
Other proposals would see the Financial Reporting Review Panel take a more proactive role in maintaining high auditing standards. Presently it just responds to complaints.
Most people think it is right that savers take responsibility to protect from pension scams.
More than 100,000 savers face being landed with huge tax bills following tiny uplifts to their pension, a Freedom of Information (FOI) reply has revealed.
Alan Pickering says politicians should have the freedom to redefine what is meant by 'absolute'