UK FDs favour auditor restrictions

Link: Volcker tells auditors to improve confidence

Almost 60% of FDs said auditors should not offer additional services but should be restricted to pure audit. Nearly two-thirds thought auditor rotation should be mandatory, according to a survey by Endelman, a global public relations consultancy.

The survey of 100 finance chiefs of FTSE-350 firms also revealed that FDs are unhappy with current attitudes toward executive responsibility.

Most surprisingly, 34% of FDs agreed limits should be set on board pay and more than four in five favour audited codes of conduct for senior executives.

The vast majority of FDs (68%) said all non-executive directors should receive mandatory financial training. They also believe that amongst the NEDs should be representatives of key shareholder groups.

The survey also showed that 90% of FDs are concerned with the company’s reputation in the public eye.

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