FRRP unlikely to spot ‘UK Enron’

FRRP unlikely to spot 'UK Enron'

A more proactive financial reporting watchdog would be unlikely to spot a 'UK Enron', according to a leading FTSE-100 finance director.

Link: New probing powers likely for FRRP

As part of a series of government-sanctioned reviews into the accountancy industry, ministers and regulators are considering endowing the Financial Reporting and Review Panel with greater powers, but concerns are already mounting.

Speaking exclusively to Accountancy Age, Rosemary Thorne, FD of Bradford & Bingley, said that although she was in favour of proactivity, she was concerned how it would work effectively and who would end up footing the bill.

Thorne said: ‘The only question I have is who is going to pay for it.’

Ian Brindle, deputy chairman of the panel, chaired the FRRP group whose findings will be fed into the government.

Thorne added: ‘It’s a very hard job to picture how proactivity would work without it costing a fortune. It’s hard enough persuading your board that you need extra headcount for international standards or implementing company law reform, to then think of paying another £100,000 a year through the stock exchange towards this massive body, that is just checking the checkers.

‘The board will say: “Isn’t that why we’re paying the auditors?”.’

The full interview with Rosemary Thorne will appear shortly on the website.

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource