EY shelves plan to split its audit and consulting businesses

EY has put a plan to split its audit and consulting businesses on hold after a backlash from partners at a meeting in New York last night.

Bosses at the Big Four firm shelved plans to put the demerger process to a vote after a meeting of senior partners from its US offices.

The break-up proposal – dubbed Project Everest – has been paused while specialist teams attempt to resolve contentions between different factions. 

Break-up on hold: Bosses at EY shelved plans to put the demerger process to a vote after a meeting of senior partners from its US offices

EY’s partners at its UK offices are set to be informed on the development at a call today. 

In the UK, the consultancy must convince three-quarters of its partners to support the proposal.

A ballot had been expected of partners in April or May, although there have been a few postponements of a vote so far.

A spokesman for EY said: ‘We remain committed to the strategic rationale that underpins Project Everest and believe that a deal can and should be done.’