The Effective Board
What businesses need an audit?
In September 2012, the Department for Business Innovation & Skills (BIS) announced
changes to the exemptions from audit for certain UK companies and Limited Liability
Partnerships (LLPs). According to BIS nearly 200,000 smaller private companies,
subsidiaries and dormant companies would not now need an audit, saving millions of
pounds in audit fees.1
There are two important broad exemptions which can apply to UK companies and
LLPs which allows many to prepare annual accounts of a simplified form and content
and to be exempt from audit. Until the recent BIS changes, the qualifications for these
exemptions were not aligned.
This technical note sets out which companies need an audit and which can now claim
an exemption if they want to. The position set out applies to all accounting periods
beginning on or after 1st October 2012.
Helping you get it right
For us, good governance is about good performance.
Yes, compliance matters. But our work is about helping you make sure your organisation…is led effectively by a board that adds value…is kept under control through risk management and assurance frameworks that meet your needs…and is “doing the right thing”.Contact