The Canadian Public Accountability Board (CPAB), Canada’s audit regulator, marked the unidentified firm as “needs improvement” in all four areas for quality management for the second year in a row, prompting CPAB to consider “escalating regulatory intervention.” (The Logic)

Talking point: CPAB, which oversees firms that audit public companies, disclosed the findings in its 2023 annual report Tuesday. The firm that missed its quality management targets—as well as one other Big Four accounting firm—also failed to meet CPAB’s target of significant issues in no more than 10 per cent of audit files it inspected. Ernst & Young and KPMG declined to comment when contacted by The Globe and Mail, while Deloitte and PricewaterhouseCoopers, the other two Big Four accounting firms, could not be reached. CPAB also said it will examine the impact of emerging technologies, including AI, on audit quality in 2024.