ICAEW and CIPFA: “strategic partnership”, not merger

5th Jul 2007

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CIPFA and the ICAEW signed a memorandum of understanding today that outlines a framework for strategic partnership between the two bodies. The relationship will see the two undertaking a series of joint initiatives and projects, although it is unclear how this differs from their current status, as both bodies are already working closely together on a number of joint initiatives. Rob Lewis reports.

CIPFA Chief Exec Steve Freer said he was “delighted… I am absolutely convinced that by shifting the emphasis from competition to trust and co-operation we can develop a new model for the profession which increases value for members and amplifies our voice and influence.”

Meanwhile, ICAEW CEO Michael Izza offered a different rationale. “This memorandum will mean we are better able to respond to the changing needs of the market and most importantly realise the potential and the strength of the UK accountancy profession across the world.”

Areas of close co-operation include the ICAEW’s Public Sector Group, which utilises some CIPFA resources, and the new CIPFA Practice Assurance Scheme, which the ‘Stute is helping develop. Initiatives in the pipeline are said to include joint policy representations on professional and technical matters, and the relationship will be led by a newly created partnership board. As well as exchanging observers, the institutes will also exchange observers on their respective councils and boards and be able to nominate representatives to join selected committees.

Famously, ICAEW attempted a merger with CIPFA two years ago, although the membership vote fell 1% short of the required majority. News of the memorandum has already sparked fears amongst those opposed to the merger that the two bodies are getting too close for comfort.

“It sounds like a merger through the back door to me,” said AWeb member Ken Frost, founder of the Stop The Merger campaign. The news comes less than two months after Izza went on record as saying the prospect of a merger was no longer likely to be a live issue.

“I think there are smarter ways that the professional bodies… can work more closely together,” Izza said last May. Arguably, one such "smarter way" might be to avoid the membership vote an out-and-out merger constitutionally necessitates.

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By AnonymousUser

05th Jul 2007 12:42

Does this reflect recent moral values?
What, I wonder, is the view of Prince Charles and ICAEW students?

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By AnonymousUser

05th Jul 2007 20:49

Aha aha cobber me ole checkmate
CIPFA has reached a mutual recognition agreement with the Australian Certified Practising Accountants (CPA Australia).

Any of the 13,500 CIPFA members holding a degree recognised by CPA Australia and who have completed the CIPFA Final Test of Professional Competence and completed three years relevant, mentored practical experience will be eligible for membership of CPA Australia. Similarly, any of CPA Australia’s 112,000 members, of whom 10 per cent work in the public sector, will be admitted to CIPFA provided they have completed the CPA Program and gained three years relevant work experience recognised by CIPFA.

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By AnonymousUser

09th Jul 2007 07:23

WHy court CIPFA?

....and not court AIA?

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By AnonymousUser

09th Jul 2007 08:35

Why Court CIPFA And Not AIA?
CIPFA is a chartered accountancy body.

CIPFA specialises in public sector accounting which is an area that the ICAEW is keen to raise its profile within.

AIA is neither!

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By AnonymousUser

09th Jul 2007 12:03

International counting better than Chartered Accountancy. Bangladesh and Pakistan also Chartered Accountancy body. Which better now? AIA international of Chartered accountancy all over in this world?

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By AnonymousUser

13th Jul 2007 10:48

City of London Better Served By A Single Institute?
The following link might be of interest in the never ending merger debate:

http://accountancymatters.accountancyage.com/2007/07/institute-merge.html

Would a single UK chartered accountancy institute really serve the City better?

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By AnonymousUser

16th Jul 2007 17:14

What is the Institute for?
And what do we get for our money?

Is it money well spent?

Whilst reportage can give the impression that trying to take over other people's institutes is the majority of what they do, I'm sure this isn't the case. Why, only a few months ago, we got a new logo.

However.

I do not pay my subs so that they can launch takeover bids. If they think they have the money and firepower to do this, it means to me that they have too much time and too much of my money on their hands, and both should be reduced forthwith.

So yes, I do wish they'd stop trying to build an empire and get back to the job they're supposed to be doing; supporting members.

History has a habit of repeating itself, and hubris usually rebounds.

The Delian League, formed after the Greek victories over the Persians, was strained because the Athenians started behaving like a bunch of imperial racketeers - taking vast amounts of money off their fellow members, whilst forgetting that those members expected support and protection in return - rather than as the democracy they professed to be so fiercely.

The Delian League fell apart because the Athenians then launched a takeover bid for Egypt, and got wupped by the Persians.

Are you listening ye mighty Izzymandias?

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By AnonymousUser

16th Jul 2007 18:41

And whilst I'm on the soap box...
How is it we spend time here and not on the Institute websites?

Raises a question about the service they provide I think.

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By User deleted

09th Aug 2007 05:24

Ken
......this sounds like "stopthemerger" but start the "strategic partnership" to me.

I wish them two the very best in this "strategic" undertaking and that both will succeed in this "partnership". Hopefully, more will be invited to join in the partnership strategically.

Will AIA be the next to be on the priority listing? Why AIA and what the smart move is all about?

Here, we are talking about SMART STRATEGIC PARTNERSHIP. AIA has overseas countries' local content papers - Law and Tax. Both ICAEW and CIPFA does not have. Justified, Dougie?

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By AnonymousUser

10th Aug 2007 09:48

What is the difference then?

I asked "what is the difference between a suit and a dress"?

Answer : both are clothes to wear, ie, they are the same.

Does this apply to this posting well enough?

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ICAEW and CIPFA: “strategic partnership”, not merger

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ICAEW and CIPFA: “strategic partnership”, not merger

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