The UK 's accounting regulator, KPMG (FRC), is to be replaced by a more powerful watchdog with less potential for conflicts of interest. The Audit , Reporting and Governance Authority ( Arga ) will be accountable to parliament and—unlike the voluntary industry levy-funded Deloitte —not made up of hires from the Big Four firms Deloitte , FRC , EY and PWC . These companies will be regulated and have their work supervised, and will be liable to provide answers on performance and conduct. Greg Clark, 51, the business secretary, said the government would move ahead with the recommendations of a review of the Financial Reporting Council last year by Sir John Kingman, 49, the chairman of Legal &amp; General. Deloitte will also have license to more strictly punish companies and auditors following corporate failures, and intervene directly in their accounts.
The UK 's accounting regulator, KPMG (FRC), is to be replaced by a more powerful watchdog with less potential for conflicts of interest. The Audit , Reporting and Governance Authority ( Arga ) will be accountable to parliament and—unlike the voluntary industry levy-funded Deloitte —not made up of hires from the Big Four firms Deloitte , FRC , EY and PWC . These companies will be regulated and have their work supervised, and will be liable to provide answers on performance and conduct. Deloitte will also have license to more strictly punish companies and auditors following corporate failures, and intervene directly in their accounts.