Qualitative research with audit committee chairs on audit quality

Contract summary

Industry

• Research and development services and related consultancy services - 73000000

Location of contract

EC2Y 5AS

Value of contract

£40,000 to £50,000

Procurement reference

FRC2021- 013

Published date

25 January 2021

Closing date

17 February 2021

Closing time

4pm

Contract start date

1 March 2021

Contract end date

30 July 2021

Contract type

Service contract

Procedure type

Open procedure (below threshold)

Contract is suitable for SMEs?

Yes

Contract is suitable for VCSEs?

Yes

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Description

The Financial Reporting Council sets the UK Corporate Governance and UK Stewardship Codes; sets UK standards for accounting and actuarial work; monitors and takes action to promote the quality of corporate reporting; and operates independent enforcement arrangements for accountants and actuaries. As the competent authority for audit in the UK the FRC sets auditing and ethical standards and monitors and enforces audit quality. The FRC works in the public interest. Our work is aimed at investors and others who rely on company reports, audit and high-quality risk management.


The Financial Reporting Council (FRC) would like to commission qualitative research with Audit Committee Chairs (ACCs) of Public Interest Entities (PIEs) to obtain a rich, in-depth understanding of ACCs' views on audit quality. This will build on similar research undertaken in 2020 .


Since 2014, the FRC has conducted relatively large-scale, annual surveys of ACCs of large companies on audit quality, often using written questionnaires. For 2021, the FRC wants to commission a set of in-depth, semi-structured interviews with ACCs, to generate detailed insights into their views on audit quality. This includes insights into how audit committees break down the components of quality of service and quality of audit when choosing an auditor and evaluating the quality of the audit received.

The project is expected to take place between March 2021 and July 2021.
The FRC does not anticipate tender bids over £50,000 excluding VAT

Note: The FRC may in future decide to repeat this research in future years to provide an over-time comparison. If you bid for this project you should please confirm your willingness to do this. If the FRC takes up this option, it will do so before the end of 2025 (and the total expenditure including repeat(s) will be capped at no more than £175,000).

The overarching objective of the project is to provide the FRC with a rich understanding of ACCs' views on, and approach to, audit quality. This may include:
• ACC's views on the key drivers of audit quality
• What does a good/bad audit look like to an ACC?
• Selection of auditors / tender process
• Audit planning
• Considerations of quality during the audit and post-audit, including ACC's views of the impact, if any, of audit firm culture
• How ACC's use the results of AQR inspections to drive improved audit quality
• How ACC's satisfy themselves as to the independence and suitability of their auditor
• How ACC's assess the work of their committees

The above list of questions is not exhaustive. Questions and topics will be developed in the first phase of the project, in consultation with the FRC.


** This is a summary only, please see the PDF download below for full details **

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More information

Attachments

• 01 ITT Final.pdf
• Technical specifications

• 02 Tender Response Document Final.docx
• Bidding documents

Additional text

Notes:-

• Download and review the documents;

• Observe the timelines and tender process

• Register your interest in this opportunity by email to procurement@frc.org.uk

• You will need to register your interest in this opportunity to receive the Q&A responses.

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About the buyer

Contact name

Head of Procurement

Address

8th Floor,125 London Wall
LONDON
EC2Y5AS
England

Telephone

020 7492 2475

Email

procurement@frc.org.uk