London | Audit firms failed to raise the alarm before three-quarters of big UK corporate collapses since 2010, according to research, raising concerns that auditors are failing to perform one of their core functions.
Three in four audit reports failed to provide alerts that companies risked going bankrupt by providing a “material uncertainty related to going concern” in the year before collapse, according to a report published this week by the Audit Reform Lab, a think tank at the University of Sheffield.
