Member

The proposed regulatory regime is also a mishmash. The FRC has no independence from the auditing industry. Its personnel dominate the FRC’s structures and are always in a position to subvert the development of exacting auditing standards. The Institute of Chartered Accountants in England and Wales—ICAEW—is actually a trade association. It has been given regulatory powers for local authority audits. It is conflicted between regulating and representing its members. That was a major reason for removing the regulation of major auditing firms from it and handing it over to the FRC.