PracticeAccounting FirmsFirms pocket millions for Shell work

Firms pocket millions for Shell work

Oil company Shell pays record-breaking amount for audit work during one of the most controversial periods in its history.

KPMG and PwC pocketed $70m (£37m) for their work with Shell during its troubled last 12 months, according to the oil company’s latest filing with the SEC.

Link: £1m bonus for Shell boss despite reserves fiasco

The basic audit fee of £22m, awarded by Shell, is one of the biggest ever paid out by a British company, up from £17m in 2003.

The two auditors – Netherlands-based branch of KMPG and PwC in the UK – received millions of pounds for other tasks, such as diligence assistance and ‘special investigations’.

Shell was unable to provide a breakdown of the fees between the two firms.

During the last year Shell suffered its oil reserves scandals, overstating the number of barrels of oil it held in reserves by billions, which led to the resignation of several of its executive directors, including CFO Judy Boynton, and it underwent a board restructuring.

While rival oil giant BP paid out a mammoth £44.2m in fees to auditors last year, its basic audit fee was worth £10.9m, dwarfed by KPMG and PwC’s figure for its work with Shell.

Related Articles

BDO’s global revenues pass $8bn

Accounting Firms BDO’s global revenues pass $8bn

5d Alia Shoaib, Reporter
Top 40 International Networks, Associations and Alliances: Finding growth amid uncertainty

Accounting Firms Top 40 International Networks, Associations and Alliances: Finding growth amid uncertainty

1w Philip Smith, Reporter
Top 40 International Networks, Associations and Alliances 2017: Big Four tussle for top spot

Accounting Firms Top 40 International Networks, Associations and Alliances 2017: Big Four tussle for top spot

1w Emma Smith, Managing Editor
BDO reports revenue growth of 5.7%

Accounting Firms BDO reports revenue growth of 5.7%

2w Alia Shoaib, Reporter
Taylorcocks announces merger with Surrey firm

Accounting Firms Taylorcocks announces merger with Surrey firm

2w Emma Smith, Managing Editor
Kingston Smith reports 7% gender pay gap

Accounting Firms Kingston Smith reports 7% gender pay gap

2w Emma Smith, Managing Editor
RSM announces two partner promotions

Accounting Firms RSM announces two partner promotions

3w Emma Smith, Managing Editor
Backsourcing: The latest accountancy trend?

Accounting Firms Backsourcing: The latest accountancy trend?

1m Pillsbury Winthrop Shaw Pittman