# The Statutory Auditors and Third Country Auditors (Amendment) (EU Exit) Regulations 2018, Regulation 81: Amendment of Regulation 537/2014


In Article 6 (preparation for the statutory audit and assessment of threats to independence)—
(a) in paragraph 1—
(i) for “accepting or continuing an engagement for a” substitute “appointment as a statutory auditor for the”;
(ii) for “a statutory auditor or an audit firm shall” substitute “a person who is eligible for appointment as a statutory auditor must”;
(iii) for “the provisions of Article 22b of Directive 2006/43/EC” substitute “what is required by paragraph 8 of Schedule 1 to the Statutory Auditors and Third Country Auditors Regulations 2016”;
(iv) in point (a), for “he, she or it” substitute “the person who is eligible for appointment as a statutory auditor”;
(v) in point (b), for “Article 17 of this Regulation” substitute “the provisions for the appointment of statutory auditors by public interest entities and Article 17(7)”;
(vi) in point (c)—
(aa) for “Directive 2005/60/EC” substitute “the relevant legislation”;
(bb) for “supervisory, administrative and management bodies” substitute “management body”;
(b) after paragraph 1, insert—
“1A. In point (c) of paragraph 1, “relevant legislation” means—
(a) the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017;
(b) sections 330(6), 330(7A), 333A and 342 of the Proceeds of Crime Act 2002;
(c) sections 45 and 46 of the Criminal Finances Act 2017;
(d) the Terrorism Act 2000.
1B. The reference to appointment as a statutory auditor for the statutory audit of a public interest entity in paragraph 1 means any appointment of the auditor by public interest entities and includes any deemed reappointment of the statutory auditor under section 487 of the Companies Act 2006.;”;
(c) in paragraph 2—
(i) omit “or an audit firm”;
(ii) in point (a)—
(aa) omit “the audit firm”;
(bb) for “and partners, senior managers and managers” substitute “and, where the statutory auditor is a firm, any associated persons”;
(cc) for “audited entity” substitute “audited person”;
(iii) in point (b)—
(aa) for “their independence” substitute “the statutory auditor’s independence”;
(bb) for “by them” substitute “by the statutory auditor”;
(d) after paragraph 2, insert—
“3. In this Article, “associated persons” means—
(a) partners if the firm is a partnership, general partners if the firm is a limited partnership, or members if the firm is a limited liability partnership;
(b) members of the management body of the firm; or
(c) individuals who are responsible for statutory audit work on behalf of the firm.”.

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Source: https://www.legislation.gov.uk/ukdsi/2018/9780111174333/regulation/81 (the official version)
Page: https://openlegislation.uk/draft-statutory-auditors-and-third-country-auditors-amendment-eu-exit-regulations-2018/regulation-81
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.