The comments heaped more pressure on the accountancy firm, which has come under fire for signing off accounts for Carillion just months before it collapsed. Yesterday the FRC said it would be investigating KPMG's handling of Carillion's financial affairs as far back as 2014. The committee also criticised Mr Haddrill for what it claimed was a lack of action following Carillion's initial profit warning in July 2017. Peter Kyle MP said that Carillion's move to change clawback policies for directors' pay the previous year should have sparked concern from the regulator. The company tweaked the rules to make it harder for investors to recoup money in the event of the business's collapse. The FRC boss insisted that the organisation had been engaging with Carillion since the summer, but admitted that "with hindsight" it would have been better to have a closer look at the company before it had got into trouble. Mr Haddrill denied that the organisation was "toothless", but said that the FRC's powers should be expanded.