Exclusive: Legal consultant model to become dominant among mid-market law firms February 25, 2021 The legal consultant business model will become the dominant model among high street and mid-market law firms, with around a third of UK lawyers predicted to be working under such a model in five years’ time. The Covid-19 pandemic has acted as a “catalyst” for industry disruption, exposing the “poor management and outdated operating models [...]
German accounting watchdog head to step down in wake of Wirecard scandal February 24, 2021 The head of Germany’s accounting watchdog in stepping down, after coming under fire for failing to spot wrongdoing ahead of the collapse of the payments company Wirecard. The agency, formally known as the Financial Reporting Enforcement Panel (FREP), said in a statement on Wednesday that President Edgar Ernst is leaving his post at his own [...]
New report: Greater understanding of financial and professional services essential to boost SME exports February 24, 2021 | City Talk A new report by EY and the City of London Corporation published today sets out how that financial and professional services (FPS) sector facilitates businesses of all sizes and across all sectors in the UK to trade internationally – and steps needed to deliver a more holistic approach to UK trade policy. The report – ‘The City of [...]
KPMG enters exclusive talks with private equity firm HIG on sale of restructuring arm February 24, 2021 Big Four firm KPMG has entered into exclusive talks with private equity firm HIG Europe about the sale of its UK restructuring business The deal, first reported by Sky News, could be worth some £400m. KPMG declined to comment on the rumours, and HIG could not be reached for comment. Sky also reported HIG has [...]
McKinsey boss Sneader ousted following poor crisis handling February 24, 2021 McKinsey global managing partner Kevin Sneader has been voted out of his position following a perceived poor handling of a succession of crises. All 650 of McKinsey’s senior partners routinely vote every three years on who should lead the firm, but, according to the Financial Times, this year’s election was seen as a referendum on [...]
FCA told to stop cum-ex probe after judge questions regulator’s priorities February 24, 2021 An investigation into a trader involved in cum-ex transactions has been stopped, after a judge questioned the FCA’s apparent lack of commitment to probing the European tax scandal. City watchdog the Financial Conduct Authority (FCA) was ordered to pause its probe until 2022, after a separate court decides on a case brought by Danish tax [...]
PwC US to head to trial over whether it rightly fired a whistleblower February 23, 2021 PwC in the US will go to trial next Monday, in which it will have to defend its audits of two tech companies and that it rightly fired a whistleblower. Former PwC senior manager Mauro Botta has accused audit giant of firing him because he submitted complaints to the Securities and Exchange Commission (SEC) and [...]
Regulator gives green light on Big Four plans for audit separation February 23, 2021 The Financial Reporting Council (FRC) has given the go ahead for the Big Four firms to press on with the next stage of separating their audit divisions from the rest of the business. The Big Four – Deloitte, EY, KPMG and PwC – were asked by the regulator to submit their plans for operational separation [...]
Begbies Traynor shares defy market slump to rise five per cent following good results February 23, 2021 Begbies Traynor defied London’s market slump today, with shares rising five per cent following encouraging results. In a Q3 update the professional services firm said it was “confident” of the outcome of its full year results, although it gave no actual figures. The business has enjoyed something of an acquisition spree this year. Earlier this [...]
Governments expected to come down hard on tax enforcement in coming years February 23, 2021 Business leaders have predicted greater tax enforcement in the next three years, as governments look to balance their books following pandemic pressures. More than half (53%) of business leaders in tax expected greater tax enforcement in the near future, according to research carried out by EY. They anticipated a far more diverse tax risk environment [...]