Grant Thornton and BDO Stoy Hayward have issued a joint statement welcoming the report into competition and choice in the audit market, saying it was a 'step in the right direction' in opening up the market.

The report has recommended 15 suggestions, including firms revealing profitability on audit work, and helping audit committees that are using more than one firm on its audit.

'The FRC must not rest on its laurels,' said BDO Stoy Hayward managing partner Jeremy Newman.

'It is vital that all the recommendations are followed up with some urgency. It is now a year since the Oxera Report was published and whilst there has been much debate there has been no tangible action taken to address the real issues recognised by the FRC and others.'

Grant Thornton CEO Michael Cleary said that a Big Four was not the long term answer to choice and quality in the audit market, but the capital markets could manufacture a move away from this in the medium term.

'Today's report shines light on the next steps to achieve this change,' said Cleary.

Further reading:

FRC calls for audit profitability disclosure

Oxera: The return - it's nothing to FEAR

Oxera returns in ownership probe