NEW YORK: The world’s Big Four accounting firms have seen their non-audit fees fall 27% this year as they secure less consulting work from audit clients amid conflicts of interest concerns, according to a report over the weekend.
The annual survey by Accountancy Magazine found that the Big Four saw non-audit fees drop to US$733.6mil from US$998.7mil last year, the Financial Times reported in its online editions.
The findings come amid debate over whether audit firms compromise their independence by pulling in lucrative fees from audit clients for non-audit services.
But the report said the decline in non-audit fees also partly reflected the sale by PricewaterhouseCoopers (PwC) of its consulting arm to IBM Corp.
The so-called Big Four accounting firms are PwC, Ernst & Young, Deloitte & Touche, and KPMG. – Reuters