Danny McCance 27 Sep 2017 01:20pm

FRC announces register of conflicts of interest

The Financial Reporting Council (FRC) has agreed to publish the information following a backlash to the recent HBOS/KPMG investigation

In his annual open meeting speech, FRC chairman Sir Win Bischoff announced the new register of interest for all board members, committees and councils.

In a decision that proved controversial, the accountancy regulator concluded last week that there was no realistic prospect that a tribunal would make an adverse finding against KPMG regarding its audit of HBOS.

This caused outrage in the press with commentators accusing the FRC of being weak because of the vested interests of former Big Four employees who now work within its ranks.

“The decision announced earlier this week to end the investigation into KPMG’s audit of HBOS has been questioned by media and politicians, and it has attracted questions about our independence, said Bischoff.

“It is vital that these decisions are taken based on the available evidence rather than on political considerations or public clamour.

“Publishing our policy and our register of interests should further remove doubt about the objectivity of our decisions,” he added.

Last week, ICAEW chief executive Michael Izza warned of undermining perceived improvements in audit in the wake of the FRC criticisms.

It new register will be published on the FRC website in October.