§ Ms WalleyTo ask the Secretary of State for Trade and Industry (1) what assessment she has made of the cost to small business over the past two years of the increase in the turnover threshold above which a business must undertake on annual statutory audit; and if she will make a statement; [84261]
(2) what plans she has to increase the £4.8 million turnover threshold above which a business must undergo an annual statutory audit. [84260]
§ Miss Melanie JohnsonThe Department of Trade and Industry is carrying out work to analyse the information that is available to assess the impact of the last increase that raised the audit threshold limit to £1 million.
My right hon. Friend the Chancellor of the Exchequer stated in his Pre-Budget Report that we will shortly announce a programme of research to assess the impact of the increase before making a decision on further increases, inviting key stakeholders and other interested parties to contribute their views and experiences. In the light of conclusions drawn from the assessment, the Government will consult by summer 2003 on whether the audit exemption threshold should be increased or maintained at the current level.