AIA RESPONDS TO GOVERNMENT CONSULTATION ON UK AUDIT REFORM

Last updated: 18 Mar 2021 10:57 Posted in:

The Department for Business, Energy and Industrial Strategy (BEIS) has published a white paper ‘Restoring trust in audit and corporate governance’ which sets out proposals to strengthen the UK’s framework for major companies and the way they are audited. 

The Paper is the long-awaited result of three separate reviews by Sir John Kingman, Sir Donald Brydon and the Competition and Markets Authority which sets out proposals for how companies should report on their governance and finances, how reports should be audited, changes to the audit and the audit market and the powers and role of a new regulator.

As a Recognised Qualifying Body for Statutory Auditors in the UK, the AIA will be responding to the consultation in full and whilst we welcome the depth of the reforms in tackling multiple issues with the ultimate purpose of restoring trust and public confidence in the profession, we will carefully consider the impact on our members and the businesses they support. 

AIA chief executive, Philip Turnbull said: “Since the start of the review process, AIA has worked with the wider profession in sharing our observations and ideas on the future shape of the audit profession and we welcome both the reviews and this comprehensive consultation.

“Central to lasting and significant change is a set of reforms that will strengthen UK’s position and restore both business confidence and public confidence in business and measures that set the UK apart in terms of audit quality whilst ensuring that the audit profession remains an attractive career prospect.

"It is vital that full consideration is given to how the reforms will affect SMEs, the lifeblood of the British economy, and the accountants that serve them and we will issue a full response that highlights the standard of the AIA professional qualification and encourages meaningful and proportionate oversight of the sector."

VIEW THE CONSULTATION
It is vital that full consideration is given to how the reforms will affect SMEs, the lifeblood of the British economy, and the accountants that serve them and we will issue a full response that highlights the standard of the AIA professional qualification and encourages meaningful and proportionate oversight of the sector.