FACTBOX-UK watchdog's plans to shake-up company audits
LONDON, July 22 (Reuters) - Britain's Competition Commission set out on Monday plans for reforming an accounting market dominated by the "Big Four" audit firms - KPMG, Ernst & Young, Deloitte and PwC.
* Top 350 UK listed companies must put their audit work out to tender at least every five years, deferred for a further two years in exceptional circumstances. Phase in over five years.
* Only company audit committees to negotiate and agree audit fees, initiate tenders, recommend appointments and authorise non-audit services.
* Financial Reporting Council to get powers to boost competition in auditing, and will review every audit engagement of the 350 companies roughly every five years.
* Ban on banks requiring companies they lend money to being audited by one of the Big Four.
* Shareholders of a company to vote annually on whether information in firm's audit committee report is sufficient.
* Mandatory switching of accountants as mandatory re-tendering seen as bringing same benefits and avoids some costs.
* Tougher limits on advisory services auditors can offer clients whose books they already check.
* Joint audits or shared audits or whereby a smaller audit firm teams up with one of the Big Four.
* Role for shareholders or FRC responsibility in reappointing an auditor.
* Independently resourced risk and audit committees.
(Reporting by Huw Jones; Editing by Greg Mahlich)