Distress support
With Covid supports ending, input costs increasing and the warehousing of tax debt being unwound, many Irish small and medium-sized enterprises (SMEs) are now at risk of failure. Early Warning Europe, a network supporting companies in distress that ACCA works with in Europe, has prepared an on-demand course covering effective mentoring strategies for working with SMEs at risk of failure. The course may be of interest to small and medium practitioners (SMPs) in Ireland and counts as verifiable CPD.W
Tax advice
The UK government is consulting on proposals to try and raise tax advisory standards through a strengthened regulatory framework.
Three options to allow for a registration system for tax agents are under consideration:
- mandatory membership of a recognised professional body
- joint HMRC and industry enforcement
- regulation by a separate statutory government body.
Sustainability assurance service provider (SASP) licensing is an opportunity to make a real mark
A firm of your own
ACCA has produced a Look before you leap booklet for members considering starting their own practice or buying out an existing practice, with checklists and suggestions. There are a considerable number of SMP members reaching retirement age and many are actively looking for successors, providing opportunities for younger members to buy into a ready-made business.
For new entrants to the SMP market, the advent of sustainability assurance service provider (SASP) licensing is an opportunity to make a real mark in a new industry. If a member has drawn down an audit licence prior to 31 December 2025, they will automatically qualify for an expedited route to SASP licensing – most SMPs will be ready to draw that SASP licence down between 2026 and 2028.
Insolvency
The Consultative Committee of Accountancy Bodies – Ireland (CCAB-I) has developed new guidance to assist insolvency practitioners with UK cross-border corporate insolvencies. These have become particularly complex since Brexit, and the document discusses the options for liquidators in addressing some of the difficulties.
Audit licences
Obtaining an Irish audit licence is a frequent challenge for a number of non-EEA ACCA members who work in Irish SMPs. Applicants need to pass the Irish-variant ACCA exams for law, tax, accounting and audit (the Irish-stream ACCA papers are called LW, TX, SBR and AAA) and undergo 44 weeks of EU audit training in an ACCA Irish audit training approved practice (the practice need not be physically in Ireland but it must offer training in EU audit and be a registered audit training firm). Members can go back and do those four papers if they did not take them the first time they sat their exams.
Accountants coming to Ireland with a non-Irish qualification will generally receive between seven and nine exemptions from the ACCA main exams and can complete the non-exempt papers to become an ACCA member. Candidates will usually have to surrender their company law exam exemption and take the Irish-variant company law paper if they subsequently want to become an auditor.
Work-life considerations are driving talent from larger firms to SMPs
Governance
The government has published the heads of the General Scheme of the Companies (Corporate Governance, Enforcement and Regulatory Provisions) Bill 2024. The proposed legislation will allow a business to be late with its annual return one time in every five years without losing its audit exemption, and also allow virtual/hybrid company meetings on a permanent basis. A number of additional enforcement measures include strike-off if a company has not provided information to the Register of Beneficial Ownership. Receivers’ fees will be more transparent, corporate enforcement authorities will get greater powers, and liquidators will have enhanced requirements for the restriction of directors.
Outlook
The Central Bank of Ireland’s regulatory and supervisory outlook 2024 discusses the bank’s view of the global macro environment and the risk outlook, outlining supervisory priorities and providing a summary of key regulatory initiatives for 2024. It also includes a section on artificial intelligence and a spotlight on financial crime.
Audit staff
ACCA has undertaken global research with CA ANZ in the area of attracting and retaining talent in audit. The Attract, engage, retain report and summary identify work-life balance as the key consideration in engaging and retaining staff. Although a lot of the research was focused on bigger firms, the conclusions are relevant to smaller practices as well, as there are signs that work-life considerations are driving talent from larger firms to SMPs.
