As previously advised we met with the Financial Support Service Unit (FSSU) on 13 February 2020. There have been no updates to the current reporting requirements. CCAB-I have raised a number of significant concerns by way of letter about the examples set out in this booklet with both the FSSU and the Minister for Education and Skills, including the absence of any reference to a recognised accounting framework and the wording of the proposed accountant’s report. At present, these concerns have not been resolved but we have subsequently received confirmation from the FSSU that they are further engaging with relevant bodies. In relation to lodging the Annual School Accounts, we understand that some Boards of Management have opted to prepare accounts under measurement and presentation FRS102 and have submitted accounts on that basis. The decision to sign any form of report should be taken by each member having regard to your own risk management framework. We will continue to engage with the FSSU and will update you on any developments.
This week, read our new February issue of tax.point. In our UK stories, have your say as part of the HMRC Powers Evaluation project. Internationally, the OECD has released its analysis of the economic impact of the proposed international tax reforms arising from the digitalisation of the economy. Ireland Readers are informed that the February issue of tax.point is now available New online filing facility for the 2019 Form ESS1 is now available on ROS UK Have your say as part of the HMRC Powers Evaluation project Read the latest Agent update International Read the OECD’s analysis on the economic impact of the proposed international tax reforms arising from the digitalisation of the economy
The 33rd Dáil convened for the first time on February 20 as 48 new TDs and 112 returning TDs took their seats. Other news in this Public Policy Bulletin includes the new UK points-based immigration system and what it will mean for workers in the future. 33rd Dáil convenes as parties put in nominations for next Taoiseach The 33rd Dáil, comprising 160 elected TDs, convened for the first time on February 2020, since the General Election 2020 wrapped up. The day saw 48 TDs taking their seat for the first time and the rest returning to fulfil their duties as Deputies. With Seán Ó Fearghaíl re-elected as the Ceann Comhairle (chairperson) of Dáil Éireann, parties put in their individual nominations for the next Taoiseach. The sitting was followed by Leo Varadkar’s visit to the Arás to tender his resignation as Taoiseach, but he has announced that he will continue in a caretaker role until the next government is formed. The Dáil is now adjourned for two weeks until 5 March 2020. New UK points-based immigration system announced The UK Government has released a new points-based immigration system which will regulate the flow of workers into the UK and replace existing rules from 1 January 2021, when the country will no longer be subject to European Union regulations. The new points-based immigration system will award points for specific skills, professions, salaries or qualifications/attributes, and visas will be awarded to those who gain sufficient points. The UK Government has also said that the new system will not include a visa option for low-skilled migrant workers, but that it will make it easier for higher-skilled workers to get UK visas. Their released Policy Statement says that “employers will need to adjust” to this change, and the overall aim is to end free movement within the EU and introduce an Immigration Bill to implement the points-based system. The Policy Statement also outlines the salary threshold for skilled migrants, which will be lowered from £30,000 to £25,600 for those coming to the UK with a job offer. The announcement of the system was accompanied by warnings from various advisory groups on the adverse effects it was likely to have on the economy, particularly on sectors such as care, construction and hospitality. UK Prime Minister Boris Johnson has also said the Common Travel Area between the UK and Ireland will not be affected post-Brexit. EU Budget negotiations resume this morning EU leaders have reconvened this morning to continue negotiations on setting their seven-year budget. Following the UK’s departure from the EU as a Member State, the EU-27 will have to plug a €75bn hole in the forthcoming seven-year budget. With Ireland’s priorities lying in maintaining farm spending at current levels, the current proposals under the Common Agricultural Policy to make cuts of up to €53bn are a concern. Leo Varadkar has joined the negotiations this morning as well. You can find more information on how the EU budget works on the European Commission’s dedicated website. You can also view all updates on our Public Policy web centre.
Chartered Accountants Ireland London Society has partnered with the Irish Embassy to examine the environmental and business impact of Sustainable Finance. At the event at the Irish Embassy in London on 18th February, members of the London Society discussed how the accounting and finance profession can help to tackle climate change by supporting sustainable growth. Speakers at the event included Counsellor Padraig Hennessy of the Irish Embassy; Dr. Brian Keegan of Chartered Accountants Ireland; Richard Spencer of ICAEW; Hannah Armitage of FRC; Elaine Deehan of Starling Bank International; and Patrycja Jurkowska of GOAL Global. Peter Keenan-Gavaghan, Chairman of Chartered Accountants Ireland London Society said: “Climate change, and the effort to fight it, is no longer a fringe topic. It has become mainstream and the finance and accounting profession has an important role to play. “Many corporations are stepping up their efforts to make a real difference and are exerting their influence on their upstream supply chain and their downstream clients to drive the decarbonisation agenda. “As well as a moral obligation, there is a commercial imperative. As well as the need to combat a global existential threat, there are tremendous opportunities. “The sustainability agenda represents a major opportunity for companies to do the right thing. It also represents an opportunity become a front-runner in terms of good governance as well as tapping into a growing, environmentally aware marketplace. “Sustainable Finance is an area where our profession has to be ready to take the lead. We must be prepared to push the boundaries, to support our members to lead the way and to help the business world rise to the challenge of climate change.” Photos from the event are available via our Flickr site To find out more about sustainable finance visit: https://charteredaccountantsworldwide.com/globalgoals/www.accountingforsustainability.org
Ireland A further update on issue of financial statements of primary schools has been included on our website. UK The Financial Reporting Council (FRC) has announced a major review of how companies and auditors assess and report on the impact of climate change. It will review the extent to which UK companies and auditors are responding to the impact of climate change on their business to ensure reporting requirements are being met. The FRC has this week published guidance for companies on disclosure of risks and other reporting consequences arising from the emergence and spread of Coronavirus (COVID-19). European A recently issued Accountancy Europe publication sets out how European countries have transposed the Non-Financial Reporting Directive 2014/95/EU (the NFRD) into national law and the impact on the role of the statutory auditor and independent assurance services provider. Accountancy Europe have issued their February Audit Policy Update which includes a feature on MEPs’ concerns about the audit sector and significant revisions to the IESBA Code of Ethics. At a launch event on 17 February 2020 in Brussels, the Alliance for Corporate Transparency presented a report that analysed the information that companies disclosed on their environmental and societal risks and impacts following the requirements introduced by the EU Non-Financial Reporting Directive. International At the joint stakeholder event hosted by the IFRS Foundation and the European Financial Reporting Advisory Group (EFRAG) during the meeting of the Trustees in Brussels on 18 February, participants discussed ‘Financial reporting: remaining relevant in a changing environment’. The International Forum for Independent Audit Regulators (IFIAR) has released a report on the results of its eighth annual survey of inspection findings arising from its member regulators’ individual inspections of audit firms affiliated with the six largest global audit firm networks