Global auditing rules get full support

Backing from the UK’s Consultative Committee of Accountancy Bodies comes ahead of a week in which the International Auditing Practices Committee gathers in London to discuss progress.

Graham Ward, ICAEW president, will tell IAPC delegates: ‘I would like to offer IAPC the UK profession’s wholehearted support in making International Auditing Standards globally accepted, and publicly recognised, as standards of the highest quality.’

Last year’s endorsement by Iosco, the club of global stock market regulators, of one set of accounting rules to be used in cross border listings is hoped to pave a smoother path for the adoption of international auditing standards.

Following meetings last year with members of the US Secutities & Exchange Commission, and the Iosco chairman John Morrisey, the IAPC has been developing a strategy to achieve Iosco endorsement for a single set of audit rules.

The IAPC hopes to gain Iosco endorsement by 2004 at the latest – one year before all European-listed companies are required to adopt one set of global accounting standards.

By-mid 2001 the IAPC must present its final plan of action to the International Federation of Accountants.

At a dinner for the IAPC this evening at Chartered Accountants’ Hall, Ward, will say: ‘International Accounting Standards are now well on the way to becoming the globally accepted standards for capital markets, but only after 30 years of hard work by the IASC and others.

‘The speed of change in world affairs will not allow the same leeway on International Auditing Standards. Their speedy adoption is vital to enhance investor confidence in standards of auditing throughout the world.’

Some of the world’s largest accountancy firms have provided additional temporary staff to IFAC to speed up work on IAPC projects.

Related reading