Building a stronger and more trusted audit sector.
Audit has been at the heart of our firm for many decades and, as our profession faces increased scrutiny, it’s only right that we respond to the calls for change. And that’s exactly what we have done.
KPMG has introduced changes such as stopping the provision of non-audit services to FTSE 350 companies that we audit and offering ‘graduated findings’, ahead of our peers. And this year, we have continued to engage with government reviews of our sector, while pressing on with our internal efforts to drive audit quality. This investment is considerable. In 2019, we set aside an additional £45 million for audit quality initiatives – including increasing the number of hours dedicated to training, hiring experienced auditors from outside of our firm and strengthening our risk function. It’s an investment in our future and, by extension, an investment in the future of well-functioning capital markets. That’s because our firm, and the quality audits we produce, make a valuable contribution to the health of the UK’s economy.
We have changed our governance structure to make our firm easier to navigate. This means, from June 2019, we now have separate governance over aspects of our audit practice. These changes make it easier for us to respond to challenges that relate to audit and audit quality. It’s a bold move for our firm and we’re confident it’s the right one. This new structure will make the way we work more transparent.
You can find out more about our governance structure; our audit leadership team; the role of our Public Interest Committee and independent non-executives; and the links between our culture, trust and transparency in our 2019 UK Transparency Report.
We're proud of the progress we’ve made over the past year and we think it will make it easier for stakeholders to hold us to account – that can only be a good thing. As we celebrate the 150th anniversary of our firm this year, we will continue to make audit quality a priority.
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For more detail about the structure of the KPMG global organisation please visit https://home.kpmg/governance.