The Independent Review of the Financial Reporting Council

Held on Thursday, February 14, 2019


  • Sir John Kingman

  • Leon Kamhi (Hermes)

  • Sue Noffke (Schroders)

  • Jane Fuller (CSFI)



Sir John Kingman’s Independent Review of the Financial Reporting Council comes up with what sounds like a damning conclusion: it should be replaced. Yet many of his 83 recommendations build on what is already in train at the UK regulator in terms of tougher supervision of audit firms and company boards.

The proposals would complete the body’s transformation from self-regulation by professional association to statutory independent oversight by a regulator accountable to parliament. Instead of being a “council”, which smacks of a talking shop, it would be called an “authority” – and act like one in every sense of the word, ending the tendency to be “excessively consensual”, as Kingman puts it.

The new Audit, Reporting and Governance Authority will have new leadership and a streamlined board and committee structure. Alongside the Competition and Markets Authority’s market study, corporate governance – and in particular audit – is undergoing its most serious period of scrutiny since the Cadbury Report in 1992.

So, we are delighted to welcome the review’s author, Sir John Kingman, to present his findings. Sir John is chairman of Legal & General. At Whitehall, he was Second Permanent Secretary to HM Treasury, with responsibility for policy on business, financial services and infrastructure. He was the first Chief Executive of UK Financial Investments and, in the private sector, Global Co-Head of the Financial Institutions Group at Rothschild.

Leading the response, we have:

  • Sue Noffke, UK Equity Manager, Schroder Investment Management. Sue is Head of the Prime UK Equities Team and the lead Fund Manager of Schroder Income Growth Fund. In nearly three decades in investment management, she has covered sectors ranging from insurance to retail.

  • Leon Kamhi, Head of Responsibility, Hermes. Reporting to the CEO, Leon leads the programme to integrate responsible investment and stewardship across the group, including incorporating ESG factors into investment decisions. Previously he was responsible for Hermes EOS’s global corporate and public policy engagement programme.

  • Jane Fuller, Co-director, CSFI. As a Fellow of CFA Society of the UK, Jane has often represented users of accounts on regulatory issues. She is a member of the audit and assurance council of the FRC. Previously she spent 19 years at the Financial Times, including as Financial Editor and Lex Writer.

Sincerely yours,

Andrew Hilton