Audit committee

The Audit Committee currently comprises all the independent Non-executive Directors namely Simon Ball (Chairman), Mary Francis, Ian Tyler and Mark Hamlin. The Chief Financial Officer, Corporate Services Director, Head of Internal Audit, representatives of the Company’s auditors, KPMG Audit Plc, and other members of management attend meetings by invitation.

The Board considers that there is a sufficient breadth of financial expertise across the Committee and considers that, collectively, the members have the requisite skills and attributes to enable the Committee to properly discharge its responsibilities.

The Committee’s full Terms of Reference are available below:

Terms of Reference

In summary the Committee

• Makes recommendations to the Board on the appointment of the Company’s auditors;
• Determines the level of audit fees and the scope of the audit in accordance with the authority given by the Company’s shareholders at every AGM;
• Assesses the independence of the auditors;
• Reviews and makes recommendations to the Board on the process of the approval of audit and non-audit services provided by the auditors;
• Reviews the internal audit programme and considers the effectiveness of the internal audit function;
• Reviews the financial integrity of the financial statements of the Company;
• Reviews the Company’s compliance with legal and regulatory requirements arising for its listing on the London Stock Exchange; and
• Monitors the Company’s whistle blowing procedures.

 

The Audit Committee has established a policy which is intended to maintain the independence of the Company’s auditors when acting as auditor of the Group accounts. The policy governs the provision of audit and non-audit services provided by the auditor and its associates to the Company and its subsidiaries. The policy clearly identifies those services which are permitted and those which are prohibited from being provided by the auditor. In addition, the policy clearly sets out the procedure to be followed for the approval of all audit and non-audit services.

The Committee is authorised to engage the services of external advisers, as it deems necessary, at the Company’s expense in order to carry out its function.