BEIS consultation - Restoring trust in Audit and Corporate Governance
ACCA welcomes the consultation on the Government’s proposals for restoring trust in audit and corporate governance and its aim to improve the wider financial reporting ecosystem as a whole. It is vital that the UK economy has efficient and effective capital markets and there is confidence and trust in the corporate framework. We welcome any opportunity to be involved in the next steps and remain committed to providing our support as the Government proceeds with the implementation of its proposals.
The proposals put forward in this consultation involve potentially radical changes across a wide range of stakeholders of the financial reporting ecosystem, including audit firms and auditors, companies and directors and the regulator. A successful outcome will necessitate continuous careful analysis of the cost and benefits of implementing these proposals as well as ensuring that the stakeholders affected, including the audit regulator, have the capacity to implement them effectively. ACCA supports a phased implementation approach which retains a focus on improving audit quality.
The ACCA Global Forum for Audit and Assurance has considered the matters raised and their views are represented in our response. We wish to emphasise the importance of global consistency of standards and the need to consider extraterritorial implications that some of the proposals may bring. Our response also reflects the views of our members obtained during the consultation period. The response comprises a number of key points which we consider to be fundamental to achieving the Government’s aims of increasing trust in audit and corporate governance. We also include responses to the individual questions posed in the consultation.
To read the response in full, please download the consultation document.