Big four accountants KPMG, EY, PwC and Deloitte in firing line over partners’ pay


Big four accountants KPMG, EY, PwC and Deloitte in firing line over partners’ pay

City & Finance Reporter for the Daily Mail

The big four accountants will face fresh demands to clean up their act after posting bumper profits and paying partners thousands of pounds a day.

KPMG, EY, PwC and Deloitte have been slammed for missing frauds and funding crises at firms whose books they audit.

The four are facing a public inquiry after they were all accused of missing the failure of outsourcer Carillion in January, with mounting calls to break them up. 

KPMG, EY, PwC and Deloitte  are facing a public inquiry after they were all accused of missing the failure of outsourcer Carillion in January, with mounting calls to break them up

KPMG, EY, PwC and Deloitte  are facing a public inquiry after they were all accused of missing the failure of outsourcer Carillion in January, with mounting calls to break them up

KPMG, EY, PwC and Deloitte are facing a public inquiry after they were all accused of missing the failure of outsourcer Carillion in January, with mounting calls to break them up

Labour MP Peter Kyle, a member of the Business Select Committee, said: ‘In recent years, the big four have squeezed out competition and started acting more and more like a cartel.

‘The time is ripe for a root and branch rethink of how our big companies are audited.’

Deloitte revealed its 702 equity partners made an average £832,000 of profits each in the year to May 31, the highest pay-out for nine years.

It faces action for failing to spot major problems in the accounts of IT firm Autonomy ahead of a tainted acquisition by rival Hewlett Packard.

Meanwhile EY earned record revenues of £2.4billion in the year to June 2017, their most recent accounts, and raised partner pay by £15,000 to £677,000 each.

PWC – slammed for missing a £263million mistake in Tesco’s profits in 2014 – had recordsales of £3.6billion for the year to June 2017, and paid its partners £652,000. 

KPMG – accused of missing scandals at the Co-op Bank and HBOS – paid partners £519,000 each in the year to September 2017.

 

 

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