A senior figure at Mazars has reiterated the need for reform to the audit
David Herbinet made his remarks in response to news from the House of Lords
that a committee will investigate the audit market and whether auditors could
have done more in the run up to the credit crisis.
Herbinet quotes research which showed that audits are only infrequently put
out to tender.
In a letter to the
Times he wrote: “When the research was conducted, more than 70% of the
FTSE 100 audits had not been subject to tender for at least 15 years. Moreover,
97% of FTSE 350 audits are held by just four firms. If this represents fierce
competition, I would not like to see a stagnant market.
“A market with greater competition and choice would be in the public interest
and serve shareholders better.”
He said Mazars was “committed to pressing for reform”.
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