Senior partner at the firm, Chris Connor, said this would be the most ‘appropriate and equitable change’ ensuring that corporate governance is improved and competition in the market for auditors increased.
In a letter to the FT Connor also backed reforms based on liability being capped at a suitable multiple of the audit fee.
He said setting the liability cap at an absolute level, say £100m, would assist only a few firms and could therefore be anti-competitive in practice.
Simon Wright of CareersinAudit.com discusses how an effective cyber defence force is critical to businesses worldwide and how internal auditors can make the transition to a new career in cyber security
The FRC has said that the investigation will 'consider, but not be restricted to, issues regarding misstated accounting balances'
Craig Maxwell joins the audit and assurance team in Scotland
Stephen Grayson to join the audit department in Manchester