Introducing mandatory rotation and encouraging joint audit

Mandatory audit firm rotation is one of the most significant areas of change introduced by the EU audit legislation. Statutory Auditor of PIEs must rotate after a maximum initial engagement period of 10 years. Member States have the option to allow PIEs to extend their auditor’s engagement to 20 years, in a situation in which an open and competitive tender takes place, or to 24 years under a joint audit arrangement.

For more information on mandatory rotation requirements and joint audit as a possible alternative, please consult our factsheets and videos.

Testimonies