The Statutory Auditors and Third Country Auditors (Amendment) (EU Exit) Regulations 2020

Suspension of approval

14.—(1) If, in relation to a third country competent authority which has been granted approval or provisional approval by relevant regulations, the Secretary of State is no longer satisfied that condition A or B is met, the Secretary of State may direct that the approval or provisional approval is suspended with effect—

(a) from a date specified in the direction; or

(b) for financial years beginning or ending on or after a date specified in the direction;

for a period of no longer than two years beginning on the date of the direction.

(2) A suspension under paragraph (1) may be extended so that the suspension is for a total period of no longer than three years beginning on the date of the direction.

(3) The Secretary of State may revoke a direction to suspend approval or provisional approval.

(4) The Secretary of State must inform the competent authority of—

(a) any suspension of approval or provisional approval;

(b) any extension of such a suspension; and

(c) any revocation of a direction to suspend approval or provisional approval.

(5) The Secretary of State must make arrangements for—

(a) publication on a publicly accessible website of details of—

(i) any suspension of approval or provisional approval;

(ii) any extension of such a suspension; and

(iii) any revocation of a direction to suspend approval or provisional approval; and

(b) informing any statutory auditor whose audit working papers and investigation reports are due to be transferred to a third country competent authority whose approval or provisional approval has been suspended, or whose audit working papers and investigation reports have been transferred to such a third country competent authority in the three years preceding the suspension of approval or provisional approval—

(i) of the suspension of approval or provisional approval of that third country competent authority;

(ii) of any extension of that approval; and

(iii) where there is subsequently a revocation of the direction to suspend approval or provisional approval, of that revocation.

(6) For the purposes of this regulation—

(a) approval granted for an indefinite period under Schedule 2 to the Statutory Auditors and Third Country Auditors (Amendment) (EU Exit) Regulations 2019 is to be treated as if it were granted under relevant regulations on the basis that condition A were met;

(b) approval granted for a finite period of time under that Schedule is to be treated as if it were granted under relevant regulations on the basis that condition B were met.