Macquarie Group (MQG.AX) will retain PricewaterhouseCoopers (PwC) as its auditor and withdraw its recommendation to appoint KPMG at the 2027 annual general meeting, reversing a tender decision that could have delivered KPMG about $700 million in fees over 10 years. The board cited continued scrutiny of KPMG Australia's audit practice, information examined by the Parliamentary Joint Committee on Corporations and Financial Services, concerns about the firm's ability to staff the engagement after key proposed team members departed, and issues involving culture and transparency. KPMG has faced whistleblower allegations, including claims that staff used inside information to win audit contracts and that partners inflated work hours during the Defence Department's $1.7 billion contract. The controversy contributed to a mid-June leadership overhaul, while KPMG Australia's recently appointed chief, John Sams, has pledged cultural, governance and leadership reforms. PwC, despite its own tax policy leak scandal in Australia, is expected to be put forward for re-election.