EU adequacy decision on oversight of certain audit firms: ‘Recognised Auditors’

The Isle of Man Financial Services Authority is pleased to announce that on 21 June 2016 it was declared a competent authority by the European Commission, when the European Commission adopted Decision (EU) 2016/1010 on the adequacy of the competent authorities of certain third countries and territories pursuant to Directive 2006/43/EC.

This decision means that the European Commission considers that the regime of oversight of auditors of certain Manx public companies (known as ‘market traded companies’) is considered equivalent in standard to that required by the EU of auditor oversight bodies in its Member States.

Despite the fact that this decision affects only a small number of Manx companies and their auditors, it is a positive endorsement that the Isle of Man’s standards in relation to this matter are considered by external assessors to meet international expectations of quality.

Further details on auditor oversight may be found on the Recognised Auditors webpage.