Act more like a regulator, FRC told
Investors have demanded that the Financial Reporting Council act more like an independent regulator, amid continuing fears over accountants' influence on the watchdog
Shareholder representatives met with the FRC recently to discuss views on the
debate over competition in the audit market, but concerns were raised over the
number of members on boards at the regulator with Big Four links. The
independence of the standard setting process was also questioned.
‘There is a feeling that the FRC hasn’t fully got into the mindset of being a
regulator,’ said one investor, who suggested there was still the impression that
‘everyone is in bed with each other’ in the UK’s oversight system.
Another said that there had to be fundamental reform of standard setting
processes on both an international and national level, to ensure it was not
influenced by the Big Four.