EY takes another bite out of FTSE 100 audit menu with ABF win
The £9.1m Associated British Foods account has been monopolised by KPMG since 1935 - a year before Edward VIII's abdication
EY is to tuck into another lucrative slice of the FTSE 100 audit market after securing the Associated British Foods (ABF) account from rival KPMG, which has audited the company for over 70 years.
The £9.1m account, of which £3.2m is derived from non-audit work, has been monopolised by KPMG since 1935 – over a year before Edward VIII’s abdication.
Pending full shareholder approval at ABF’s AGM in December, EY will take up the reins for the 2016 audit of the world’s second-biggest producer of sugar and owner of a diverse portfolio of household consumer brands such as Ovaltine and Mazola.
Hywel Ball, EY’s UK head of audit, comments: “We are incredibly proud to have been proposed as auditors to this impressive global FTSE 100 business. ABF is a leader within its industry and we look forward to working with the board as they continue their growth plans for the future.
“Since January, EY has been proposed or selected as auditors to four of the country’s largest businesses, including Royal Dutch Shell. New EU audit reforms have increased the number of audits that are coming up for tender, while our global scale, innovative approach to the audit, and deep sector insights ensures that we are well-positioned to serve these companies.”
Associated British Foods is the latest large UK corporate win for EY which include RELX group, RBS, Sainsbury’s and the BBC.