The Bank of England appoints EY as its external auditor
The Bank of England has appointed Ernst and Young LLP (EY) as its external auditor from the financial year ending 28 February 2025.
The Bank of England has appointed Ernst and Young LLP (EY) as its external auditor from the financial year ending 28 February 2025.
This follows the completion of a competitive tender process, overseen by the Bank’s Audit and Risk Committee, which resulted in a recommendation which has been approved by the Court of Directors.
KPMG, which has been the Bank’s auditors since 2006 is currently undertaking the audit of the financial year ended 29 February 2024 and will work with EY to enable a smooth transition.
Outsourcing expertise
Earlier this year, the BoE announced it would be recruiting the help of City law firm Simmons & Simmons to bolster its legal advice, with Threadneedle Street also paying out for EY to conduct investigations work.
The documents showed the BoE would pay EY £1.7 million for work on a so-called “skilled person review”. Also known as an S166 investigation, such reviews are commissioned by regulators when they suspect wrongdoing within a particular firm or firms, drafting in experts to conduct a probe at those firms’ expense.
The contract notice did not specify the sector or business area that EY will investigate in the S166.
Simmons won a contract worth up to £3 million with the Bank of England, according to documents published last month. The deal allows the Bank to “call on additional legal support” over the next two years.
Simmons will work on “complex legal issues”, as well as lead projects and subject matter specialist teams, represent the Bank in discussions with external bodies, and mentor the Bank’s own junior lawyers.
The firm has one of the largest financial services regulatory teams in London, helping take average partner pay past £1 million in recent years. The BoE has long turned to Magic Circle peer Freshfields Bruckhaus Deringer for the bulk of its legal advice in a relationship that dates back some 300 years.
