Accountancy firm Grant Thornton has been hit with a lawsuit over its role as auditor to cake chain Patisserie Valerie which collapsed in 2019 after it discovered a £40m hole in its accounts.

Administrators for the failed chain launched a High Court claim against Grant Thornton today in another blow for the firm which is already being investigated by the sector's regulator over its role in the chain’s demise. The Financial Reporting Council announced its investigation in November 2018.