In July 2016, the U.K. Financial Reporting Council (FRC) published a revised version of the Audit Firm Governance Code. The 2016 version replaces the original code, which was issued in 2010. The revised version “sharpens the Code’s purpose; promotes good governance of audit in particular; strengthens transparency; and introduces some additional provisions from the Corporate Governance Code.” Prior to the issuance of the new code, the FRC began a consultation process late last year, which closed on 11 March 2016. Accompanying the new code is a feedback statement that summarises the “main points from the responses, the decisions taken by the FRC and the reasons for those decisions.” The new edition of the Code will apply to reporting periods beginning on or after 1 September 2016.
