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.
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.
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.
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.
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.
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.
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
David Thorburn, INE, was appointed on 1 June 2016 and a member of the IOC since April 2017.
David is an External Member of the Bank of England’s Prudential Regulatory Committee and chairs the Chartered Banker Institute 2025 Foundation.
David is a Chartered Banker and former CEO of Clydesdale and Yorkshire Banks. He is also a former Chairman of CBI Scotland, the Scottish Financial Services Skills Gateway and the Advisory Board at Strathclyde Graduate School of Business.
David is a Past President of The Chartered Institute of Bankers in Scotland, and former Board Director of the British Bankers Association and Scottish Financial Enterprise. He was a founder member of the Professional Standards Board of the Chartered Banker Institute.
David’s competencies include accounting, based on his practical experience during his 37 years in banking, where he served latterly as CEO of Clydesdale Bank PLC and attended the Board Risk & Audit Committees, together with his current role at the Bank of England.
Rosemary Martin, INE, appointed on 1 November 2016 and a member of the IOC since April 2017. Retired on 3 August 2018.
In addition to her role as Group Counsel and Company Secretary to Vodafone, Rosemary is also an advisory board member of the Oxford Internet Institute and has a seat on the Listing Authority Advisory Panel of the FCA, which is a non-statutory panel advising the FCA on policy and regulation.
Rosemary previously served as CEO of the Practical Law Group, having spent 11 years with Reuters Group Plc in various roles, including Group General Counsel and Company Secretary. Before joining Reuters she was a partner with Mayer, Brown, and Rowe & Maw.
Rosemary was a non-executive director of HSBC Bank Plc (the European arm of HSBC Group) until 2016 and a member of the Corporate Governance Advisory Committee of the ICAEW for a five-year term.
Sir Peter Westmacott, INE, appointed on 1 April 2017 and a member of the IOC since April 2017.
Sir Peter was British Ambassador to the United States from January 2012 until he retired from the UK Diplomatic Service in January 2016. He spent a semester at Harvard’s Kennedy School of Government as a Resident Fellow.
Sir Peter was British Ambassador to France from 2007-2012 and to Turkey from 2002-2006. His 40-year diplomatic career included four years in Iran before the 1979 revolution and a secondment to the European Commission in Brussels. He was the Foreign and Commonwealth Office’s Director for the Americas from 1997-2000 and Deputy Under Secretary of State from 2000-2001. From 1990-1993, he was Deputy Private Secretary to His Royal Highness The Prince of Wales. He is a Distinguished Ambassadorial Fellow at the Atlantic Council, Deputy Chairman of Tellus Matrix LLP and an Advisory Director of Campbell Lutyens & Co.
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: