// Made.com auditor EY will be probed by the FRC over its work on the collapsed retailer’s 2021 accounts
// The retailer collapsed last November, less than 18 months after it floated with a £775m valuation
Made.com auditor EY is under investigation by the UK accounting watchdog the Financial Reporting Council (FRC) over how it evaluated the finances of the collapsed furniture retailer.
The FRC has launched a probe into how the big four accountancy giant audited Made.com’s 2021 financial reports.
Made.com plunged into administration last November, with hundreds of jobs lost. Next snapped up the brand’s IP and plans to relaunch it later this year.
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The furniture retailer’s collapse came less than 18 months after it launched on the London Stock Exchange with a valuation of £775m.
Its value plunged by roughly 95% in a year.
The regulator also said it would be scrutinising EY’s audits of a separate unnamed company in 2021, focusing on a possible breach of fee cap requirements.
The watchdog did not provide any further details about the investigations.
An EY spokesperson said: “We will be fully cooperating with the FRC during their inquiries. It would be inappropriate to comment further at this time.”
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