Risk trend indicators
Externally influenced
Failure to adapt and respond to the impact of further significant regulatory change on our business and the competitive landscape.
{{risk-neutral}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-neutral}} 2021 trend
Externally influenced
Failure to identify and respond to geopolitical and macroeconomic changes resulting in financial impacts and / or challenges to our ability to service our clients.
{{risk-up}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-up}} 2021 trend
Externally influenced
Failure to:
{{risk-neutral}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-neutral}} 2021 trend
Evolving the firm
Failure to stay relevant, to invest and evolve services/products to meet changing market and client needs which could lead to poor business performance and impact the brand.
{{risk-neutral}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-up}} 2021 trend
Well-established procedures for responding to changing client needs, including:
Evolving the firm
Failure to evolve and manage resilient delivery models, including appropriate use of third parties and alliances, leading to quality issues, delivery disruption, financial and/or brand implications.
{{risk-up}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-neutral}} 2021 trend
Evolving the Firm
Risk that inadequate data strategy, governance, and infrastructure are in place which impedes the firm’s ability to realise the benefits of responsibly using data to enhance services delivered to clients.
{{risk-neutral}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-up}} 2021 trend
Evolving the firm
Failure to lead our clients and markets in appropriately mitigating and responding to the impacts of climate change and degradations to the environment, including preparing for its implications and:
New risk in FY23
Operational
Significant audit quality failure in the UK firm or the PwC Network due to either:
leading to a potential service failing, reputational risk, litigation and/or regulatory action.
{{risk-neutral}} 2023 trend
{{risk-down}} 2022 trend
{{risk-neutral}} 2021 trend
Internal quality management systems, including:
Operational
Significant quality failure in the UK firm or the PwC Network due to:
leading to a potential service failing, reputational risk, significant cost to remedy, perceived or actual conflict of interest, litigation and/or regulatory action.
{{risk-neutral}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-neutral}} 2021 trend
Internal quality management systems, including:
Operational
Inadequate protection of the technology landscape leading to:
{{risk-neutral}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-up}} 2021 trend
Operational
Failure to implement appropriate controls and mitigations in order to manage the data lifecycle, including access, loss and misuse of the firm’s or client’s data, which may lead to reputational damage and/or commercial implications.
{{risk-neutral}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-up}} 2021 trend
Operational
Failure to comply with relevant independence, legal, regulatory (including sanctions) or professional requirements leading to regulatory action, financial penalties, reputational damage and/or a client conflict of interest.
{{risk-neutral}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-down}} 2021 trend
Established compliance and independence management systems, including:
Operational
Failure to ensure the IT infrastructure and applications across the technology ecosystem, including third parties and the PwC Network, support the running of the business now and in the future.
{{risk-neutral}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-neutral}} 2021 trend
Operational
Failure to adequately manage the risks associated with handling and processing client assets (monies and physical) leading to regulatory, financial, commercial and reputational implications.
{{risk-down}} 2023 trend
{{risk-neutral}} 2022 trend
{{risk-neutral}} 2021 trend
Well-established procedures for dealing with client assets and related matters, including:
Operational
Issues impacting our people and business in the short term (i.e. next 12-18 months) including:
{{risk-down}} 2023 trend
{{risk-up}} 2022 trend
{{risk-neutral}} 2021 trend
Operational
Failure to adapt people strategies today to be ready for changes in employee expectations and business models in the future, including:
{{risk-neutral}} 2023 trend
New risk in FY22
Operational
Failure to adequately plan for and appropriately respond to the broad financial effects of internal or external forces impacting the business, including macroeconomic developments, changing market conditions and evolving resourcing models, resulting in a failure to optimise the business’ growth and profitability, appropriately manage its working capital needs and/or withstand a crisis.
{{risk-neutral}} 2023 trend
New risk in FY22
Operational
Failure to appropriately mitigate and respond to the impacts of climate change and degradations to the environment on our operations and the UK firm, including preparing for its implications and:
New risk in FY23
Operational
Risks associated with the actions of other firms within the PwC Network resulting in reputational damage or operational constraints including:
New risk in FY23