PracticeConsultingAudit – Deloittes nabs Abbey National

Audit - Deloittes nabs Abbey National

PricewaterhouseCoopers stands to lose more than #2m in annual audit fees after high street bank Abbey National announced plans on Tuesday to switch to Deloitte & Touche.

An Abbey National spokeswoman said the company decided to embark on a review of its audit arrangements earlier this year because of concern over the concentration of banking and life assurance audits brought about by the merger of Price Waterhouse and Coopers & Lybrand.

Pending a shareholder vote at its agm in April, Abbey National will make the change after PricewaterhouseCoopers completes its audit of the bank’s 1998 accounts.

Coopers & Lybrand earned #2.1m in fees for Abbey National’s 1997 audit and the bank spent a further #4.8m on tax advice and other consultancy. A spokeswoman indicated that the company would continue to work with PwC on other projects in the future.

Abbey National’s internal audit committee was chaired by former English ICA president Keith Woodley and considered tenders from all of the Big Five firms.

A PwC spokesman said the firm was ‘naturally disappointed’ to lose a long-standing client. Abbey National was one of a small number of clients that had expressed concerns about the merger, he added, ‘but we’ve been able to assuage the fears of others who expressed that view.

‘No other FTSE-100 company has put its audit out to tender as a result of the merger.’

Related Articles

5 tips for SMEs to protect cash flow

Accounting Software 5 tips for SMEs to protect cash flow

2m Alia Shoaib, Reporter
Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

Consulting Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

8m Stephanie Wix, Writer
Managing partner Q&A - the year ahead: Richard Toone, CVR Global

Accounting Firms Managing partner Q&A - the year ahead: Richard Toone, CVR Global

9m Kevin Reed, Writer
Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

Audit Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

10m Kevin Reed, Writer
New head of equity capital markets for KPMG

Accounting Firms New head of equity capital markets for KPMG

10m Stephanie Wix, Writer
Deloitte 'self-imposes exile' on government contracts to defuse PM row

Accounting Firms Deloitte 'self-imposes exile' on government contracts to defuse PM row

9m Kevin Reed, Writer
Managing partner Q&A - the year ahead: Julie Adams, Menzies

Accounting Firms Managing partner Q&A - the year ahead: Julie Adams, Menzies

9m Kevin Reed, Writer
Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

Business Regulation Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

9m Kevin Reed, Writer