Mandatory audit firm rotation is intended to improve audit quality by limiting risks of repeated inaccuracies, encouraging fresh thinking and strengthening skepticism. European Union (EU) member states do have the authority to modify these rules to some extent. For example, U.K. regulation requires that audit firms rotate every 10 years, with member state options to extend an additional 10 years if the company puts the audit out for tender after 10 years.

In this article, Audit Analytics examines 34 FTSE 350 companies that are required to rotate audit firms or conduct a tender process by 2023.