EFRAG backs McCreevy push for IASB change

EFRAG backs McCreevy push for IASB change

Europe's accounting standards advisor has thrown its weight behind the push for a radical overhaul of the how the International Accounting Standards Board is structured and how standards are set.

Link: McCreevy: EU should have more power over IASB

Backing internal market commissioner Charlie McCreevy’s desire for more accountability and greater European influence, EFRAG expressed disappointment in its draft response to the consultation on constitutional change by the IASB’s umbrella organisation.

It claimed that the current proposals risked diluting further European involvement, rather than increasing it.

EFRAG also stated that the trustees of the International Accounting Standards Committee Foundation had ignored many of the European concerns put forward by many organisations, and highlighted three key issues that needed major improvement.

These are the accountability and public oversight of the trustees and the board, the governance structure, and the composition of the trustees and the board.

‘It is of the utmost importance that the trustees are in some way accountable to others, and that a proper election system is established,’ wrote G”ran Tidstr”m, chairman of EFRAG’s supervisory board.

‘It is simply not possible to explain to European politicians that the trustees are not accountable to anyone and that they can reappoint themselves without a real challenge.’

He recommended that a final decision on constitutional review was postponed so that more radical proposals could be put forward.

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource