After some material audit failures in Great Britain the government is considering breaking up the audit firms and their consultancy practices. Outside of breaking up the firms into independent parts they are also looking at how to make the audit space more competitive. In addition they will likely impose a forced seven year rotation and sector limits.
(Madison Marriage | Financial Times)
These types of changes may be constructive steps towards more effective audits but they also represent challenges for audit clients. The proposed changes will result in on-going knowledge loss for companies as they transition from one auditor to the next. Hyperproof is working to help solve for this problem.