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Companies Bill [Lords]

It is interesting to get a clear-cut opinion from the hon. Member for Cambridge (David Howarth), who is leading for the Liberal Democrats, at least on this issue, and an opinion in favour of the Government. I welcome that. I was amazed at the case advanced by the official Opposition for their amendment. My view is that this part of the Bill is far too sympathetic to auditors, particularly the big four. I intended to call it ““The prevention of cruelty to the big four and other endangered species””, until I saw the provision, which puts teeth into the Bill and which I warmly welcome. The hon. Member for Putney (Justine Greening) presented a picture of the big four as paragons of virtue, always doing proper, efficient and effective audits—creatures without sin. In fact, they are powerful multinationals and they have a responsibility to review their operations and, where possible, to restrain them. They are not in danger of extinction. The Government have given them special protections in the Bill, including the effective capping of liability. They are huge multinationals rolling in money. Their combined global income is $70 billion a year. They audit 99 per cent. of the FTSE 100 companies—