Effects of the 2014 European reform on audit activity, the audit outcome and the audit market: the auditors’ view

IF 3.5 Q1 BUSINESS, FINANCE
David Castillo‐Merino, Josep García-Blandón, Gonzalo Rodríguez-Pérez
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引用次数: 0

Abstract

Purpose This paper aims to examine the effects of the 2014 European regulatory reform on auditors’ activity, the audit outcome and the audit market, with a focus on the Spanish market. Design/methodology/approach The research is based on in-depth, semistructured interviews with partners of the main audit firms operating in the Spanish market. This qualitative approach provides a precise identification of the cause-effect relationships of the new measures introduced by the European audit regulation. Findings The findings indicate that, based on auditors’ opinions, the costs of the main regulatory changes outweigh the benefits. The European Union (EU) Audit Regulation imposes more demanding provisions, such as an extended auditor’s report, mandatory audit firm rotation, more banned nonaudit services and stricter quality controls, resulting in substantial side effects on audit activity and the audit market. This could undermine the objective of enhancing the quality of audit services. Originality/value To the best of the authors’ knowledge, this is the first study to analyze the effect of the 2014 EU regulatory reform on audit activity, audit market and audit outcome based on auditors’ perceptions. The findings may be of interest to academics, professionals and regulators alike, as they offer valuable insights for assessing the effectiveness of the new audit provisions. Additionally, the qualitative methodology used facilitates a causal analysis of the key elements introduced by the regulations, potentially paving the way for future research avenues.
2014 年欧洲改革对审计活动、审计结果和审计市场的影响:审计师的观点
目的本文旨在研究 2014 年欧洲监管改革对审计师活动、审计结果和审计市场的影响,重点关注西班牙市场。研究结果研究结果表明,根据审计师的意见,主要法规变化的成本大于收益。欧洲联盟(欧盟)审计条例》规定了更严格的条款,如扩展审计师报告、强制审计事务所轮换、更多被禁止的非审计服务和更严格的质量控制,从而对审计活动和审计市场产生了巨大的副作用。据作者所知,这是第一项基于审计师的看法分析 2014 年欧盟监管改革对审计活动、审计市场和审计结果影响的研究。研究结果可能会引起学术界、专业人士和监管机构的兴趣,因为它们为评估新审计规定的有效性提供了宝贵的见解。此外,所采用的定性方法有助于对法规引入的关键要素进行因果分析,从而为未来的研究铺平道路。
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来源期刊
Meditari Accountancy Research
Meditari Accountancy Research BUSINESS, FINANCE-
CiteScore
7.80
自引率
14.30%
发文量
66
期刊介绍: Meditari Accountancy Research (MEDAR). MEDAR takes its name from the Latin for constantly pondering, suggesting a journey towards a better understanding of accountancy related matters through research. Innovative and interdisciplinary approaches are encouraged. The journal is a double blind refereed publication that welcomes manuscripts using diverse research methods that address a wide range of accountancy related topics, where the terms accountancy and accounting are interpreted broadly. Manuscripts should be theoretically underpinned. Topics may include, but are not limited to: Auditing, Financial reporting, Impact of accounting on organizations, Impact of accounting on capital markets, Impact of accounting on individuals, Management accounting, Public sector accounting, Regulation of the profession, Risk management, Social and environmental disclosure, Impact of taxation on society, Accounting education, Accounting ethics.
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