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ICAEW researches merger result

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13th Dec 2005
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ICAEW is conducting research into why members voted the way they did in the recent proposed merger with CIPFA.

The two-thirds majority needed for the merger was missed by less than one per cent, which chief executive Eric Anstee described as 'deeply disappointing' in a letter to members.

MORI is conducting the research, which is taking place among a random and representative sample of ICAEW's members. The costs are being met through the institute's existing research budget.

More than 56,000 ICAEW members voted on the merger. Mr Anstee wrote: 'it was gratifying to know that as an institute we managed to engage with so many members' proving beyond doubt that our strategic direction is something that you see as important.'

He added that integration was intended as an accelerator to the broader strategy. The institute's four operational priorities are:

  • to embrace the full breadth of the economy
  • to align with member careers
  • to increase its international footprint
  • to build on its reputation for excellence.

When asked what action the institute might take once it has the answer to its question, spokeswoman said: 'We will not be deciding on future action the institute may take until the results of the polling have been collated and examined.

'We hope to find out why the members who voted voted the way they did and why those who did not vote felt the need not to engage on the issue of consolidation.'

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By AnonymousUser
09th Feb 2006 16:39

Definition of the term accountant
Definition of "Accountant" referred to IAASA

February 3rd 2006 - The Minister for Trade and Commerce, Michael Ahern TD announced that the Irish Auditing and Accounting Supervisory Authority (IAASA) has been given significant powers to oversee how recognised accountancy bodies regulate their members. These include the right to intervene in the disciplinary processes of these bodies and investigate possible breaches by an accounting firm of the standards of the body of which it is a member. The Minister also confirmed that the recognition of accountancy bodies, which previously lay with him, will now transfer to IAASA,.


“I felt the time was opportune”, Minister Ahern said “having established it on a statutory basis in early January, to give IAASA most of the balance of the powers and functions which the 2003 Act provides for. Last Friday I completed the consultation process with the recognised accountancy bodies, who are to provide 60% of the funding for IAASA, on the very issue of their contributions to the new body and other related matters”.

“We are essentially talking about a new regime, Minister Ahern said, with clearly defined linkages and demarcations between IAASA, other recognised bodies whose members are authorised to carry out audits on firms, and auditing firms themselves. Each of the players has clarity as to its role in this new regime.”

As a further element of the new system, Minister Ahern is in the process of prescribing under the 2003 Act, three bodies of accountants whose members do not carry out audits, and who consequently have not hitherto been part of a regulated process. This is a novel development which will bring these bodies and their members under the remit of IAASA in practically the same way as the recognised bodies. Minister Ahern confirmed that he had long considered it appropriate that the two types of representative bodies should be subject to a similar regulatory regime and accordingly included appropriate provisions in the 2003 Act. “Embracing this category of accountants under the new regime will ensure a uniform level of high standards in the auditing and accounting professions” he said.

Another issue on Minister Ahern’s agenda is that of defining the term “accountant” with some kind of precision, such that it can curb situations where somebody with no accounting qualifications can purport to be an accountant, to the detriment of the customer and the profession. Minister Ahern said, “on the one hand we want to prevent this situation but I am also conscious of the need to avoid any kind of initiative which cut across the provision of services by persons perfectly competent to do so”.

Minister Ahern has referred the matter to IAASA, who are mandated to act as a specialist source of advice to the Minister on auditing and accounting matters, for their consideration.

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By AnonymousUser
09th Feb 2006 16:42

Statutory Regulation of the Accountancy Profession
1. Companies (Auditing and Accounting) Act, 2003 (Commencement) Order, 2006 S.I. No. 56 of 2006
In exercise of the powers conferred on him by section 2 of the Companies (Auditing and Accounting) Act, 2003 (No. 44 of 2003), has made an Order entitled as above. The Order sets out the commencement date for certain provisions of the Act which bring into effect many of the powers and functions of the Irish Auditing and Accounting Supervisory Authority (IAASA) as provided for in the 2003 Act and in particular transfers to IAASA the powers of the Minister for Enterprise, Trade and Employment in relation to the recognition of accountancy bodies under the Companies Acts. The effective date of the Order is 3 February 2006.

2.Companies (Auditing and Accounting) Act 2003 (Prescribed Accountancy Bodies) Regulations 2006 S.I. No. 57 of 2006
In exercise of the powers conferred on him by section 48(1)(a) of the Companies (Auditing and Accounting) Act, 2003 (No. 44 of 2003), has made Regulations entitled as above. These Regulations prescribe for the purposes of the Companies (Auditing and Accounting) Act, 2003 the following three bodies of accountants:
(1) The Association of International Accountants (AIA)
(2) The Chartered Institute of Management Accountants (CIMA) and
(3) The Chartered Institute of Public Finance and Accountancy (CIPFA).

These Regulations are operative from the 6th February 2006.


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By kenfrost
14th Dec 2005 12:27

A Waste of Money
A waste of time and money.

The reasons for the no vote are well publicised, the ICAEW know the reasons.

Now it is Christmas, it is time for the turkeys to vote and for Council members to vote themselves out of office.

The ICAEW should be focussing on sorting out the mess wrt its syllabus (see http://www.stopthemerger.org)

Ken Frost

http://www.stopthemerger.org

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By User deleted
16th Dec 2005 10:21

My Christmas wishlist for the ICAEW agenda
1) Promote chartered accountants as being the highly trained, highly skilled profession they are worthy of their fees (can't remember when I last saw an advert for chartered accountants outside the profession). (but please no more "get into bed with a chartered accountant" type ads.)
2) Concentrate on improving resources and access to them for members outside London. I imagine the facilities are very good if you are in a position to visit the library.
3) For the executive to get out of London more and listen to different members throughout the country - not just when a vote for a pet project is nearing - for all sizes of firms and situations.
4) Explain where the membership money is spent. For now all I can see is an annual bill and all I get is the ability to use a few letters after my name.
5) Do not dumb down the exam system. Being able to take fewer papers at a time is definitely making it easier to pass.
6) Accept that power can come from being a respected body without necessarily having a large size. You only have to look at our universities to see that size does not always equate to influence held.

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