Ernst & Young brief partners on £66bn global break-up
780 UK partners have been invited to a summit next week to be briefed on the separation of EY’s audit and consulting business.
The summit will be held in central London where the firm will brief its 780 UK partners on the separation, which is set to cost £66 billion.
The UK is EY’s second-largest firm globally. This week, its partners can expect to hear about the company’s strategic plans and vote on the change, which may take months to organise. Those which vote against the proposals reportedly won’t be forced to perform the split.
The firm has plans to separate its consulting business from its audit firm, with the audit firm still being owned by partners. In contrast, the consulting business would seek a listing on the international stock exchange.
A variety of leaders at the company will be presenting at the partner conference, speakers will include EY’s UK Chairman Hywel Ball, and Omar Ali, the Financial Services Regional Managing Partner for Europe, the Middle Eat, India and Africa.
EY is considered a part of the big four global accounting firms. Deloitte and PricewaterhouseCoopers have said they will retain the existing integrated model. While KPMG has reportedly denounced the action to seperate.
The split has been fuelled by pressure on auditors to avoid conflict of interest which has been a point of concern in recent times.