Happy New year to you and your family.
Government is talking to regulators. I hope they are talking to FRC and professional bodies such as ICAEW. Audit should be high up the list.
1,000+ pages are far too many, particularly for NHS bodies, local authorities, all charities, medium-size companies and small companies still subject to audit.
We need to move away from the situation where the main objective seems to be to develop weighty audit files as a defence against audit inspections.
There needs to be “fresh thinking” to create more time for audit challenge, innovation, efficiency and added value by way of commentary on putting in place the necessary foundations and building blocks for economic growth, investment and financial survival.
It would enable more “competition” on the basis of price, innovation and service differentiation and help audits to be delivered “properly and on time”.
This would be “Pro-Growth” and also help our ”essential services” and the charities that “plug the gaps” in our society.
The National Audit office says:*
“Takeaways to leave you with
- Regulators continue to walk the line between the harms that regulation is designed to protect, supporting the sector and focusing on the outcomes.
- In a fast moving and complex landscape, regulators should be mindful of the digital challenges, media pressures, and be prepared to adapt quickly.
- Regulators need specialist skills to assess the risks, engaging and understanding the industry, to take action appropriately.
- Having a flexible operating model is vital and the ability to ensure you can provide different solutions for different challenges.”
We agree regulation for regulation sake is most likely damaging the economy.
Kind regards,
Howard Gross BFP FCA FCCA CTA
Director
