Big Four KPMG cleared as regulator drops Entain audit probe
The regulator has closed a probe into the Big Four giant, KPMG, over its audit of the Ladbrokes owner, Entain.
In January 2025, the Financial Reporting Council (FRC) announced an investigation into Entain regarding its financial statements for the year ended 31 December 2022.
At the time, a KPMG UK spokesperson said: “We will cooperate fully with the FRC to conclude this matter as quickly as possible.”
This probe followed the gambling giant agreeing to pay a financial penalty totalling £585m, a charitable donation of £20m, and a contribution of £10m after it entered into a deferred prosecution agreement (DPA) for the Crown Prosecution Service (CPS).
The settlement was over alleged bribery at a former Turkish subsidiary.
Elsewhere, the CPS charged 11 individuals, including five former Entain executives, with several offences, including bribery and conspiracy to defraud, in connection with its investigation into the company’s former Turkish business.
However, on Thursday, the FRC confirmed that it has closed the probe into KPMG.
In a press statement, the regulator stated that “Having reviewed the evidence obtained in the investigation, and having considered all relevant factors, the FRC’s executive counsel has decided not to bring enforcement action.”
KPMG in the headlines over cuts
Last week, news broke of yet another redundancy round at KPMG, as it seeks to cut around 600 jobs in the UK.
The firm is set to axe about 440 ‘assistant manager’ roles in the firm’s audit business, along with around 120 roles in its advisory arm, also set for the chopping block.
KPMG blamed low attrition rates for this latest redundancy round.
The Big Four giants have cut thousands of roles over the last few years, with over 900 roles made redundant in 2024 and 1,800 in 2023, with even more expected this year.