The Statutory Auditors and Third Country Auditors (Amendment) (EU Exit) Regulations 2019

Amendment of the Statutory Auditors and Third Country Auditors Regulations 2016

71.  In regulation 11 (performance, monitoring and enforcement of third country audit functions)—

(a) for paragraph (2)(a) substitute—

“(a) for an audited entity which—

(i) is incorporated in an equivalent third country, or

(ii) is incorporated in a transitional third country; or”;

(b) in paragraph (2)(b)(i), for “an EEA auditor” substitute “eligible for appointment as an auditor of bodies corporate incorporated or formed under the law of an equivalent third country or a transitional third country”;

(c) in paragraph (2)(b)(ii), for “EEA competent authority that approved the EEA auditor in accordance with the Audit Directive” substitute “third country competent authority in that equivalent third country or transitional third country”;

(d) in paragraph (4), in the provisions being substituted for regulations 4(2) to (4) of these Regulations for the purposes of applying regulation 4 with modifications—

(i) in paragraph (2)(a), after “Audit Directive” insert “before exit day”;

(ii) after paragraph (2)(a), insert—

“(aa) the UK-adopted international standards adopted by the competent authority in accordance with regulation 4(3)(za), or standards which are equivalent,”;

(iii) in paragraph (2)(b), for “paragraph (a)” substitute “paragraphs (a) or (aa),”;

(iv) for paragraph (2)(c), substitute—

“(c) any auditing standards, procedures or requirements imposed by the competent authority in accordance with the requirements set out in paragraphs 1 to 6 and 8 of Schedule 1, or with any other equivalent standards, procedures or requirements.”;

(e) in paragraph (8)—

(i) for “UK-traded non-EEA company” substitute “UK-traded third country company”;

(ii) for “an equivalent body corporate” substitute “ a body corporate”;

(iii) for “another EEA state” substitute “an equivalent third country or a transitional third country”.