CIPFA applies for registered auditor status
Public sector accountants could soon be allowed to carry out company audits after a request by their institute that the government permits its members to become registered auditors.
CIPFA, whose members work mainly in services such as health, education and government, hopes the move will help make its qualification more attractive.
But it says the main driver behind its request is the increasing overlap between the private and public sectors. More organisations using public funding are being set up as companies governed by the Companies Act. Allowing members to register as auditors, says CIPFA, will allow them to pursue public money into such organisations.
Former KPMG partner Lord Colin Sharman raised concerns earlier this year about the audit of such bodies, including the company which ran the Dome, as he unveiled a review of central government audit.
Vernon Soare, the institute’s policy and technical director, told Accountancy Age: ‘This is something we are doing in terms of responding to the changing environment in which public sector finance is working. Members will be able to sign off external accounts of organisations with a Companies Act framework.’
CIPFA has asked the Department of Trade and Industry to grant it recognised qualifying body status under the Companies Act, allowing members to attain auditor status. It hopes for an initial response next month.
Changes to its syllabus will be required and qualified members will need extra training.
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