Enforcement activity against auditors fell sharply in 2025, marking a dramatic shift in the regulatory landscape as both the Securities and Exchange Commission (SEC) and the Public Company Accounting Oversight Board (PCAOB) underwent significant leadership changes and adopted new enforcement philosophies, according to a new report from The Brattle Group published on February 26, 2026.
The SEC and PCAOB together initiated just 39 enforcement actions against auditors in 2025, a 33% decrease from 58 actions in 2024, according to the annual analysis prepared by Alison Forman and Adam Karageorge. Total monetary sanctions plummeted 66% to $17.9 million, down from $52.2 million the previous year.
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