British American Tobacco Plc | Re-appointment of KPMG as the Company’s auditors

Status
96.35% votes in favour
AGM date
Previous AGM date
Proposal number
4
Resolution details
Company ticker
BATS
Lead filer
Momentum Metropolitan Life Ltd
Resolution ask
Other ask
ESG theme
  • Governance
ESG sub-theme
  • Other
Type of vote
Shareholder proposal
Filer type
Shareholder
Company sector
Consumer Staples
Company HQ country
United Kingdom
Supporting materials
  • BTI Notice-of-Annual-General-Meeting-2025.pdf Download
Resolved clause
To re-appoint KPMG LLP as the Company's auditors until the conclusion of the next general meeting at which accounts are laid.
Supporting statement
KPMG LLP was initially appointed as the Company’s external auditor in 2015. As disclosed on page 167 of the 2023 Annual Report and Form 20-F, the Audit Committee conducted a competitive tender process in 2023 for the external audit of the 2025 financial year. Following this process, the Board accepted the Audit Committee’s recommendation to reappoint KPMG LLP.

However, given that KPMG has served as BTI’s auditor for over a decade, this extended tenure raises concerns regarding auditor independence, which is not fully aligned with the Momentum Proxy Voting Policy and the principles of the King IV Code. Prolonged audit tenures can compromise perceived independence and objectivity.

We therefore recommend that the Company initiate a new audit tender process to ensure alignment with best governance practices and to promote enhanced auditor independence.

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