KPMG chief executive Jon Holt said it was "clear" the audit regulator was misled over its audit of collapsed outsourcing giant Carillion, apologising for his firm's misconduct as a court hearing over the Big Four firm's actions kicks off.

KPMG and six of its past auditors have been accused of involvement in a scheme to create forged documents to mislead inspectors reviewing the firm's audits of outsourcer Carillion and IT company Regenersis, a tribunal heard.