Companies Act 2014 section 1497

Quality assurance review deemed to include individual auditors in certain cases

Section 1497 provides that a quality assurance review of a statutory audit firm can be treated as a review of all the individual statutory auditors working within that firm, provided the firm operates a common quality assurance policy.

• A quality assurance review carried out on a statutory audit firm covers all statutory auditors conducting audits on behalf of that firm.
• This deemed coverage only applies where the firm maintains a common quality assurance policy.
• Each statutory auditor within the firm must be required to comply with that common policy.
• This provision avoids the need for separate individual quality assurance reviews of each auditor within the same firm.