Vodafone firing PwC over audit independence concerns

Vodafone confirmed on Friday it was sacking PricewaterhouseCoopers over litigation concerns, though it was not doing so immediately.

Rumours had been swirling for several days that the FTSE 100 telecoms giant would seek a new auditor, given the threat of litigation from PwC against Vodafone, over the failure of mobile retailer Phones 4U.

“While PwC are assessed as independent and will continue as the group's statutory auditors for the year ending 31 March 2019, it is uncertain how this matter may evolve and whether future developments may give rise to risks to audit independence,” the Vodafone board said in its statement.

“Accordingly, the Vodafone Group audit and risk committee has decided to launch a tender process for the audit of the year ending 31 March 2020.”

The audit tender process was expected to conclude in February, with a resolution proposing the appointment of the selected firm being put to shareholders at the 2019 annual general meeting.