Benchmarking survey suggests UK audit committees are setting new standards for best practice
Audit committees are perceived to be a keystone in companies’ corporate governance arrangements. In our extensive survey, we assessed the reality of audit committee operations, and measured them against the best practices outline in the Smith Guidance. Published in 2003, the Smith Guidance provided a framework of principles for the composition, operation and responsibilities of audit committees.
In addition, recent developments in the European arena have highlighted the importance of audit committees. The 8th Directive, which came into force on 9 June 2006, requires all listed companies to have an audit committee and includes specific composition provisions.
In our survey, we aimed to assess how UK companies are fairing against EU requirements, and in conducting this exercise we have uncovered a host of significant findings.
See full Survey.
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