The better the question. The better the answer. The better the world works. У вас есть вопрос? У нас есть ответ. Решая сложные задачи бизнеса, мы улучшаем мир. У вас є запитання? У нас є відповідь. Вирішуючи складні завдання бізнесу, ми змінюємо світ на краще. Meilleure la question, meilleure la réponse. Pour un monde meilleur. 問題越好。答案越好。商業世界越美好。 问题越好。答案越好。商业世界越美好。

EY UK 2018 Transparency Report

Welcome to the EY UK 2018 Transparency Report

Our profession has come under scrutiny from policymakers and other stakeholders over the year, and the need for transparency has never been greater. So the publication of our EY UK 2018 Transparency Report could not be better timed or more relevant.

EY - Audit Quality External Review
EY - Audit Quality Internal Review
EY - Audit Quality Delivery

It’s in our interests and the public’s for EY UK to be as open and transparent as possible. The Transparency Report goes some way towards helping us achieve this, while also providing an opportunity to share a more balanced perspective on what we do and how we perform as a business. For example, it refers to our role in building trust and confidence in the capital markets and wider economies, by maintaining and developing positive relationships with our stakeholders. It explains what we do to make a difference to people’s lives by helping to improve social mobility in the UK. It also shows how our people are supported in their role as auditors by making reference to our tools, technologies and training programmes. Details on internal and external surveys and inspections are included as well, to show how we are performing against our own expectations and – most importantly – those of our regulators.

EY - Our PeopleEY - Our People

Given the importance of the annual Transparency Report we are always looking for ways to improve it. This year we consolidated our usual two-volume report into one and introduced case studies, which bring to life the descriptions and explanations of how we operate in the UK, and for the first time we are reporting against our governance Key Performance Indicators.

EY - Results EY - Results

Publishing our Transparency Report helps us to meet our regulatory requirements. It is fully compliant with the Audit Firm Governance Code 2016, Local Auditors (Transparency) Instrument 2015, and Article 13 of the EU Audit Regulation (537/2014). This year’s Report, and complementary materials including video interviews, are available for you to view and download from this webpage.

Steve Varley | EY UK Chairman and UK&I Managing Partner

In the last 12 months EY UK has undertaken several initiatives which have helped to drive social change in the UK and make a difference to the firm’s people, clients and community. Steve talks about the number of jobs and student places created by EY UK over the year, and the promotions achieved by our people.

Steve refers to the success of the EY Foundation and how the firm’s contribution to improving social mobility in the UK is recognised for making a difference to people’s lives. He also explains the firm’s progress on diversity, gender balance and inclusivity, for example 50% of EY UK’s board is comprised of women. This is followed with a reference to audit quality, and recognition that although progress has been made in this area, more needs to be done.

David Thorburn | Independent Non-Executive

The Independent Oversight Committee (IOC), chaired by David who is an Independent Non-Executive (INE), helps EY UK to meet the requirements of the Audit Firm Governance Code. In that regard audit quality, reputational issues and the work of the EY UK Risk Oversight Committee come within the purview of the IOC.

David explains that the IOC will focus on the same topics as last year, but with a deeper and more rigorous approach, and with a lot more public scrutiny. He also mentions that he is an EY Global INE, a member of the Global Governance Council, and the Chairman of the Global Public Interest Committee. He refers to his interactions with INEs from other countries, and gives examples of the topics they discuss including the firm’s risk and internal control framework and audit quality.

Hywel Ball | UK&I Managing Partner, Assurance, and UK Head of Audit

In recent years levels of trust in business and wider society have fallen, and professional services firms are included in this issue. This is partly related to an expectation gap between what the public expects of an audit, and what today’s audit delivers.

Hywel explains that the firm is committed to working with regulators, standard setters and other stakeholders to help ensure the profession continues to evolve. The aim is to make sure the audit meets the requirements of business, investors and the public. He also talks about the firm’s Sustainable Audit Quality Programme and the investment made in technology, and a forward looking initiative to help companies measure and communicate the long term value they create for their stakeholders.

Lisa Cameron | General Counsel, Managing Partner Risk Management UK&I

The UK Board has overall responsibility for risk management and internal control, supported by a Risk Oversight Committee and overseen by the Independent Oversight Committee comprising of our Independent Non-Executives.

Lisa explains that in addition to the board and committees, everyone at EY is required individually to make sure they comply with legislation, regulation, codes and standards, while also ensuring they comply with the firm’s policies and procedures. She also refers to a new policy to guide EY’s people on how best to act in the public interest if/when they become aware of actual or suspected non-compliance with laws and regulations. She adds that this reinforces the general principles of EY’s Global Code of Conduct by rejecting unethical or illegal business practices, supporting compliance with laws, regulations and standards, and upholding the firm’s commitment to ethical behaviour and quality.

  • Andrew Walton, Deputy Head of Audit UK&I , shares his views on how the audit market has changed
     
  • Christabel Cowling, Audit Partner and former Chief Operating Officer of the Assurance Business in the UK, talks about EY’s investment in its people
  • Eamonn McGrath, UK Head of Regulatory & Public Policy, and Audit Partner, outlines EY’s engagement with UK regulators and policy makers.
  • Loree Gourley, Director, UK Regulatory & Public Policy, explains how EY engages with investors
     

Additional information

Download our EY UK 2018 Transparency Report

The contact details for dialogue with listed company shareholders and listed companies about matters covered by the AFGC are: