Accountancy Magazine
E&Y nabs Amec audit from KPMG
E&Y's first FTSE 100 audit in eight years
08 March 2010
Ernst & Young has won its first FTSE 100 audit client in eight years, winning the tender for consultancy and engineering company Amec, in a blow to rival firm KPMG, previously the company’s auditor for 20 years.
Amec is only the fifth FTSE 100 company to change its auditor in the last three years, following on from Fresnillo, United Utilities, WPP and Kingfisher.
It is understood that the decision to reconsider its auditor could be attributed to cost.
In its preliminary results the company said: ‘The recommendation follows a formal audit tender process initiated to ensure the company continues to receive best value for its audit services.’
Last year saw the smallest of the Big Four accountancy firms scoop up the audit of engineering company IMI from KPMG, which resigned from its role as auditor in July 2009.
KPMG declined to comment on the matter.
Amec is only the fifth FTSE 100 company to change its auditor in the last three years, following on from Fresnillo, United Utilities, WPP and Kingfisher.
It is understood that the decision to reconsider its auditor could be attributed to cost.
In its preliminary results the company said: ‘The recommendation follows a formal audit tender process initiated to ensure the company continues to receive best value for its audit services.’
Last year saw the smallest of the Big Four accountancy firms scoop up the audit of engineering company IMI from KPMG, which resigned from its role as auditor in July 2009.
KPMG declined to comment on the matter.
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