SNP auditors quit days after Nicola Sturgeon’s husband, Peter Murrell, arrested in finance probe

Reports suggest accountancy firm Johnston Carmichael took decision after reviewing client portfolio

The firm that audits the SNP’s accounts has resigned just days after Nicola Sturgeon’s husband was arrested as part of a police investigation into the party’s finances.

Accountancy firm Johnston Carmichael told the party that it took the decision after reviewing its client portfolio.

Peter Murrell, 58, who recently stood down as the party’s chief executive, was in police custody for almost 12 hours following his arrest on Wednesday as part of a long-running police investigation into the spending of about £600,000 earmarked for Scottish independence campaigning. He was later released without charge.

An SNP spokesman said yesterday: “We can confirm that Johnston Carmichael will not be providing audit services to the SNP this year.

“The national treasurer is undertaking a tendering process for alternative provision and we have advised the Electoral Commission of that position.”

Peter Murrell stepped down in March (PA Wire)

The BBC reported that Johnston Carmichael, which had worked with the party for more than a decade, resigned before Mr Murrell was arrested.

The company informed the party it had “taken the decision to resign following a review of our client portfolio and existing resources and commitments”.

Police were stationed outside the home of Nicola Sturgeon and her husband, Peter Murrell, on Thursday (Getty Images)

Large political parties are required to submit independently audited accounts to the Electoral Commission each year.

The decision means the SNP now has until the first week of July to present its accounts or face possible sanctions, including an independent audit.

On Thursday, the new SNP leader Humza Yousaf said it was “very, very clear that the governance of the party was not as it should be”.

He has promised a review of governance and transparency with external input, which will be discussed at a meeting of the party’s national executive committee later this month.

Ms Sturgeon and Mr Murrell stepped down from their respective roles within weeks of one another (PA)

Police vans, a large blue tent and a cordon were erected in the front garden of the couple’s home on Thursday morning, as Ms Sturgeon cancelled a planned appearance at a climate change event in Edinburgh.

The former Scottish First Minister has said she had “no prior knowledge of Police Scotland’s action or intentions” when her husband was arrested, but will “fully cooperate if required” with officers.

Mr Murrell stepped down as the SNP’s chief executive last month – just weeks after Ms Sturgeon resigned as leader of the party – following controversy about misleading information given to journalists over the party’s falling membership numbers.

First minister Humza Yousaf has promised a review of governance and transparency with external input (Getty)

On Thursday, Mr Yousaf insisted that the party was in “good financial health”, but conceded “I want it to be better.”

The Conservative MSP Donald Cameron said: “This resignation only raises further questions about the increasingly murky picture surrounding the SNP‘s finances.

“Given this firm have audited the party’s accounts for so long, the SNP must be fully transparent over why they have decided to quit now.

“The extraordinary events of recent weeks leave the SNP with big questions to answer and their auditors’ resignation only adds to the growing number of issues they must address.

“The public are sick of the SNP shrouding matters relating to their finances behind a wall of secrecy and senior figures – including Humza Yousaf and Nicola Sturgeon – must be upfront about this situation.”