The Statutory Auditors (Amendment of Companies Act 2006 and Delegation of Functions etc) Order 2012

The Secretary of State makes this Order in exercise of the powers conferred by section 2(2)(a) and (b) of the European Communities Act 1972 M1 (“the 1972 Act”) and by sections 464(1) and (3), 504(1)(b)(ii), 525(1)(a)(ii), 1228(1), (2) and (6), 1231(4), 1239, 1252(1), (2)(b), (4)(a), (5), (6), (7) and (8), 1253(4) and 1292(1)(b) and (c) and (2) of, and paragraphs 7(3) and 11(2) and (3)(a) of Schedule 13 to, the Companies Act 2006 M2 (“the 2006 Act”).

The Secretary of State is a Minister designated M3 for the purposes of section 2(2) of the 1972 Act in relation to auditors and the audit of accounts.

It appears to the Secretary of State that it is no longer in the public interest that the Statutory Auditors (Delegation of Functions etc) Order 2008 M4 should remain in force.

It appears to the Secretary of State that the Financial Reporting Council Limited M5 is able and willing to exercise the functions transferred by Part 3 of this Order and to discharge the function (supervision of Auditors General) mentioned in section 1229(1) of the 2006 Act.

It appears to the Secretary of State that that body has arrangements in place relating to the exercise of the functions transferred by Part 3 of this Order, and to the discharge of the function mentioned in section 1229(1) of the 2006 Act, which are such as to be likely to ensure that those functions will be exercised effectively and in accordance with the relevant requirements and provisions specified in this Order.

In accordance with paragraph 2(2) of Schedule 2 to the 1972 Act and with sections 1252(11), 1290 and 1292(3) and (4) of the 2006 Act, a draft of this Order was laid before Parliament and approved by a resolution of each House of Parliament.