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KPMG and two accountants probed by FRC over Wood Group audit

The Financial Reporting Council (FRC) has launched two separate investigations into KPMG and two accountants concerning the financial reporting and statutory auditing of John Wood Group.

  • The FRC is investigating KPMG and two accountants regarding John Wood Group's financial reporting and statutory auditing.
  • The probe will focus on financial information preparation and communication with auditors for Wood Group's 'Projects Business Unit' across 2022, 2023, and 2024.
  • KPMG is also being investigated for its statutory audit of the group’s consolidated financial statements for the 2023 financial year.

The Financial Reporting Council (FRC) has opened an investigation into KPMG and two accountants regarding the accounts of engineering and consulting firm John Wood Group. The FRC announced on Thursday that it officially launched two separate regulatory investigations concerning the financial reporting and statutory auditing of the former London-listed group.

The probe will focus on how financial information was prepared and communicated with auditors concerning John Wood Group’s ‘Projects Business Unit’ for the years 2022, 2023, and 2024. Additionally, the FRC is investigating KPMG regarding its statutory audit of the group’s consolidated financial statements for the 2023 financial year.

John Wood Group, headquartered in Scotland, was delisted from the London Stock Exchange in March 2026 following its acquisition by Dubai-based Sidara. The company was fined nearly £13m by the Financial Conduct Authority (FCA) in March for publishing misleading financial results and failing to maintain proper market controls.

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