We enhanced the effectiveness of auditor oversight

During the year, the PRH took a number of measures to enhance the effectiveness of auditor oversight.

The Finnish Act on Money Laundering brought new obligations for our auditor customers as of 1 July 2019, and we provided auditors and audit firms with information on the obligations arising from the act.

The audit committees of PIEs (Public Interest Entities) are responsible for ensuring the quality of audit and financial reporting practices in a number of different areas. The PRH and the Financial Supervisory Authority co-operated to produce a survey for audit committees. The results of the survey were reviewed at a quality session for audit committees.

We published annual reports on the quality inspections carried out in 2018 and on the investigation matters highlighted during the year.

Results of the quality inspections and key findings are detailed in the annual report on quality inspections.

The purpose of the annual report on investigation matters is to provide customers and stakeholders with information on investigation matters and application of legislation in such matters.

Quality of public sector audit was a key priority at the PRH during the year. We established a quality division for public sector audit, the task of which is to review observations relevant to the results of quality inspections and the way in which they impact the audit process as a whole.

The PRH also launched a joint project with the Finnish Ministry of Finance to improve the quality of public sector audit.