ACCA TO PAY £603,000 FOR THE UK REGULATORY REGIME

As usual ACCA's controllers are silent on the financial drain.

AABA can reveal that for the year 2002, ACCA has agreed to pay £603,233 to fund the new UK regulatory regime.  The total cost of this regime, when it finally kicks in, is likely to be around £5 million per annum . The whole system is not yet operational and the the accountancy bodies have agreed that the 2002 budget is £2.6 million. Of this the ACCA will pay £603,233. ICAEW will pay £1,335,617.

ACCA's contribution has been agreed without any discussions with members or any mention in the 2001 accounts. Most auditing firms are ICAEW licensed and the regulatory system is designed to deal with their shortcomings. Very few ACCA members conduct company audits and the number will decline when the government next raises the small company audit threshold. Yet ACCA has agreed to pay a substantial portion of the costs.

CIMA's contribution to finance the new structure is 'capped' to £38,00 per annum. In addition, it also finance the Auditing Practices Board by £167,531, making its total contribution £205,531.