This was to be the way to boost competition in the audit sector across the Channel. But even before being implemented, the idea imagined by the British government is already compromised. The establishment of “shared audits” for the FTSE 350 companies was to force them to call on small firms to audit “a significant part” of their activities. But this initiative is shunned by the two “biggest” of the small ones on the British market, BDO and Grant Thornton.
According to the “Financial Times”, they plan to forgo candidacy on such audits for the 100 largest companies in the index alongside the “Big Four” (Deloitte, EY, KPMG and PwC). This would deprive the government of an important lever in its desire to reduce the domination of the “Big”. And that would also leave the “big corporates” of the FTSE 100 in a delicate situation: they would indeed have to turn to (even) smaller firms, hoping to find some who have the backs of enough to take charge of such audits, in terms of both skills and abilities.