Recommendation 28

PSAA highlighted that the age profile of key audit partners was a factor likely to increase the challenge which audit firms faced, in having sufficient staff.80 EY confirmed that it was facing a retirement issue for its key audit partners, with most having been in careers in local audit for 30 years or so, and in Grant Thornton the vast majority were aged over 50. EY was aware that when this cohort retired, it faced a risk of too few people coming behind them to take on their roles, and it considered that there was a generation of key audit partners missing.81 The Local Government Association also told us that among the relatively few accredited audit firms in the market, there were too few key audit partners to ensure the resilience of the system.82