A summary of Barclays’ Policy on the Provision of Services by the Group Statutory Auditor can be found below.
External auditor objectivity and independence: non-audit services
The overriding principle of the policy is that the Group should only engage the Auditor to supply non-audit services in exceptional circumstances.
The Board Audit Committee oversees compliance with the Policy and has the sole authority to approve the use of the Auditor for non-audit services. In addition, the Committee has pre-approved allowable services where the engagement fees are below £100,000 (or £25,000 in the case of certain taxation services). Group Finance and Barclays Corporate Secretariat deal with day-to-day administration of the Policy, facilitating requests for approval.
Details of the services that are prohibited and allowable are set out below.
Services that are prohibited include:
- Design and implementation of financial information systems
- Internal control and risk management services
- Appraisal or valuation services
- Actuarial services
- Internal audit outsourcing
- Provision of management and human resources functions
- Broker or dealer, investment advisor or investment banking services
- Legal services
- Tax services (including the preparation of tax forms, payroll tax and the provision of tax advice)
- Expert services unrelated to the Group Statutory Audit
- Transaction-related and restructuring services.
Allowable services that the Board Audit Committee considers for approval include:
- Statutory audit and audit related services and regulatory non-audit services
- Other attest and assurance services
- Training, surveys and software
- Risk management and controls advice
- Transaction support
- Limited taxation services (subject to the FRC Ethical Standard derogations)
- Business support and recoveries
- Translation services.