Why use Macalvins for your PIE audits?

By Mridul Khariwal, Partner at Macalvins

Once your business transitions into a Public Interest Entity (PIE), it brings a multitude of complex and specific regulatory compliance and audit requirements.

While only a select few audit firms in the UK possess the requisite resources to handle PIE audits, even fewer are registered with the Financial Reporting Council’s (FRC) PIE Auditor Register (PAR).

The audit register predominantly comprises large firms that customise their audit services for multinational corporations, rather than entities seeking to capitalise on the trading market by becoming PIE’s.

Consequently, there exists a service gap where the audit services and processes are tailored specifically for audits of these multinational corporations, which does not accommodate any other type of entities.

Amidst this landscape, our firm stands out and presents a distinctive option, blending the capacity to manage audits with our “high-street roots” and commitment to personalised service.

Specific requirements for a PIE audit

The stringent requirements governing PIE audits ensure the integrity and transparency of the financial reporting process.

They include:

  • Maintaining independence from the entities being audited to ensure unbiased and objective opinions.
  • Publication of transparency reports that disclose key aspects of the audit practices, independence, and governance.
  • Rotation of audit partners on PIE audits every five years to prevent over-familiarity.
  • Establishment of audit committees within PIEs to oversee financial reporting processes and external auditor independence.

If your business falls under the PIE criteria, you and your audit firm should be following the above guidelines to remain compliant with Government legislation. OR

For businesses who qualify as a PIE, adherence to these guidelines remains imperative to stay compliant with legislation.

Benefits of using Macalvins for your next PIE audit

Navigating the intricate standards and regulations of PIE audits can prove daunting for many auditors.

At Macalvins, our extensive expertise and experience in this field, allows us to navigate these complexities with assurance.

Our approach to conducting PIE audits is underpinned by rigorous quality control measures, ensuring that our work adheres to the highest standards of accuracy and professionalism.

With our specialised knowledge, we’re adept at identifying and mitigating the financial and compliance risks associated with PIE businesses, providing you with an additional layer of security.

These audits often require insights from various specialists, such as those in taxation, valuation, and IT. Fortunately, we have access to a broad network of experts to draw upon as needed.

For PIEs with international operations, familiarity with global auditing standards like IFRS is paramount.

Our proficiency in these standards ensures that our audits not only encompass all UK requirements but also align with global best practices.

We’re on the PIE register

To be a PIE-regulated auditor, a firm must meet several criteria, including:

  • possession of appropriate professional qualifications by our auditors, who are licensed and registered with the Financial Reporting Council.
  • engagement in PIE-specific ongoing professional development to keep abreast of evolving standards and practices.
  • adherence to ethical standards, including independence and objectivity, a principle we uphold fervently.
  • regular inspections by oversight bodies to ensure compliance with auditing standards and regulatory requirements.

We were awarded the right to perform PIE audits in 2023 and you can check our credentials through the PIE Auditor Register or contact our team directly.

As a smaller firm, we are uniquely positioned to offer a more personalised service to our clients whilst still upholding the highest standards of care and diligence.

Consider Macalvins for your next PIE audit to experience unparalleled service.

Call our team +44 (0)20 8863 1234 or email us via: more@macalvins.com

Posted in blog, Business, Business Advice, SME's, Start-Ups.