How will the appointing person scheme manage a situation where an opted-in body is dissatisfied with its auditor and wants a change (e.g. because of quality, relationships, or a conflict of interest)?

Where an opted-in body is dissatisfied with its auditor, concerns should be raised in the first instance with the appointed auditor’s Engagement Lead and subsequently with the firm’s PSAA Contact Partner (as indicated on communications between the auditor and the body).

If the body is not satisfied with the response of the auditor, then the matter should be raised with PSAA.

As appointing person, PSAA appoints a firm as auditor to an opted-in body. The auditor is responsible for nominating an individual to act as the Engagement Lead on the audit of a body.

PSAA will consider changing an auditor appointment in extreme circumstances if an opted-in body is dissatisfied, but would expect the body and the auditor to have exhausted all avenues for resolution before doing so. Maintaining the independence of the auditor is an important part of this consideration.

PSAA will consider changing an auditor appointment during a five year appointing period if a conflict of interest involving the existing auditor is identified, or because of the emergence of new joint working arrangements. The appointing person scheme has the flexibility to provide an audit alternative if required in these cases.

PSAA monitors the quality of audit services provided as part of the contractual terms of appointment agreed with the audit firms.