KPMG Australia plans to cut more than 10 per cent of its workforce in September as leadership works to stem the financial hit from its audit misconduct scandal.

The growing scandal over the firm’s misuse of confidential client documents will reduce contracts, and exacerbate financial pressures leading to job losses.

KPMG Australia has stopped bidding for new Victorian government contracts as an investigation into the alleged misuse of confidential client information deepens. The audit and…