§ Mr. NichollsTo ask the President of the Board of Trade if she will make a statement on the relationship between independent auditing capacity and the protection of shareholders' rights. [36243]
§ Mr. Ian McCartney[holding answer 30 March 1998]: The Companies Act 1985 requires all companies to lay before their shareholders in general meeting, and file for the public record, independently audited annual accounts and my right hon. Friend the President of 475W the Board of Trade has particular powers under the Companies Act 1989 to regulate auditors to ensure that the audit is carried out properly and with integrity and with a proper degree of independence. Labour's Business Manifesto sets out our commitment to ensuring a framework of independent regulation for the accountancy profession, including auditors. We are keeping under review the continuing debate about the appropriate balance of rights and obligations between the auditor, management and shareholders.