LONDON: Accounting firm Ernst & Young (EY) has called off a plan to break up its audit and consulting units, slamming the brakes on a proposed overhaul of its businesses that was meant to address regulatory concerns over potential conflicts of interest.
The company, which is one of the Big Four accounting giants, announced its plans for a split in September after regulators voiced concerns that the audit arm would not do its job fairly for its client if it also employed EY as a consultant.
But the plan, code-named “Project Everest”, faced resistance from some of EY’s partners. The company said its US executive committee decided not to move forward with the split.
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