Deloitte’s response to the BEIS consultation on audit and corporate governance reform

Overview

In March 2021, the Department for Business, Energy and Industrial Strategy (BEIS) launched its consultation on “Restoring trust in audit and corporate governance”. Here Deloitte sets out its response to the White Paper, as submitted to BEIS on 8 July 2021.

Our response

Stephen Griggs, UK managing partner at Deloitte:

“We’ve been consistent in our support for both audit and corporate governance reform.

“Audit plays a critical role in the country’s business environment and we fully support changes that enhance audit quality and improve choice in the audit sector. We’re committed to playing our part in reform, and alongside continuing to develop our audit product and launching our Audit Governance Board, last month we moved ahead with the majority of operational separation ahead of the FRC’s 2024 deadline.

“Our consultation response makes it clear that we support the majority of the White Paper’s proposals. We believe it provides a once in a generation opportunity to reform the corporate reporting system in the UK.

“While there are details to be worked through, different players in the market – including auditors, regulators, directors and investors – must work together to ensure there is comprehensive reform of the corporate reporting system. This provides an opportunity to improve trust in business, build confidence in the UK as a leading capital market and strengthen its position in the global economy. It’s important we don’t lose momentum by delaying reform.”