KPMG being the most popular FTSE 100 auditor makes no sense

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Accountancy Age has this headline this morning:

This makes no sense, at all. KPMG is the firm that, more than any other, has dragged auditing into the more. And yet it now has 28 FTSE 100 audits, overtaking PWC, who now have 27.

Why is that? Simply because conflicts of interest in a 'market' that is far too small means that KPMG is not the option of choice for those firms looking for a new auditor but is the only firm they can take.

This is a sign of market failure, and not market success.

The time for a new audit regime has arrived.