Companies (Statutory Audits) Bill 2017 The Companies (Statutory Audits) Bill 2017 was published on 6 November 2017. Once enacted, it will give effect to certain optional provisions of the EU Audit Directive and the EU Audit Regulation. The mandatory provisions and some optional provisions of this EU Audit Directive and EU Audit Regulation were given effect to by the Statutory Audits Regulations (SI 312 of 2016) (the ’Regulations’) in July 2016.
Once enacted, this Bill will revoke and restate the Regulations in the Companies Act 2014 thus providing a consolidated legal framework for statutory audits. Some of the proposed optional provisions are set out below and would:
Proposed amendments to the Companies Act 2014 include a new Part 27 Statutory Audits and Schedules 19 and 20 which will restate provisions of the Regulations and include provisions governing matters from approval to withdrawal of statutory auditors and audit firms to the public register to be maintained by the Registrar of Companies. The Bill also proposes to repeal certain provisions in the Industrial and Provident Societies Act and the Friendly Societies Act to reflect, for example, auditor eligibility criteria and to provide for certain offences and fines.