A review of Ethical Standards for Auditors (ESs) by the Auditing Practices Board (APB) has resulted in a consultation over rotation of audit engagement partners.
The APB follows UK requirements of rotating partners every five years but are debating whether to change it to every seven years which is international practice.
Chairman of the APB Richard Fleck said: "While the APB believes that the standards on auditor objectivity and independence have proved effective over the last three years, this consultation is an important opportunity for stakeholders to communicate their views to us."
The APB found that when researching changes in relationships between companies and their auditing partners, 35 per cent were related to rotating partners.
The review of the ESs also found that a number of developments have reduced threats to auditor independence including a reduction in non-audit services to companies and involvement of audit committees considering auditor independence.
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