The Financial Reporting Council (FRC) has published research into the state of auditor reporting in the UK.
A series of six infographic ‘snapshots’ provide an in-depth look at the length and readability of auditors’ reports, as well as how auditors communicate how the audit was performed, the risks they identified, and the responses to those risks.
This research represents the first step in meeting the FRC’s undertaking to improve the useability and informativeness of auditor’s reports in its recent Position Paper on Restoring Trust in Audit and Corporate Governance. It forms a foundation for understanding current practice and will be used as a basis for engaging the users of auditor reports and other stakeholders to identify potential areas for improvement.
An introduction to the snapshots, along with a description of how the study was conducted and the sample used, is available here.
The six snapshots are available below: