IPA completes break with APES 230
Despite some key amendments being made to APES 230 to make it more palatable to accountant/advisers, the Institute of Public Accountants (IPA) has broken away and implemented its own standard.
The IPA confirmed today that its members would be entitled to use its own standard — Pronouncement 11 — in place of the APES 230 model imposed by the Accounting Professional Ethical Standards Board (APESB).
However in doing so, the board of the IPA said it would continue to support the role of the APESB.
"After extensive consultation with our members and affirmation of our Board, the IPA wishes to announce Pronouncement 11 will be established in place of APES 230 issued by the APSB," IPA chief executive Andrew Conway said in a formal statement announcing Pronouncement 11.
"The IPA has consulted with APESB regarding APES 230 and the alignment with the Future of Financial Advice (FOFA) reforms. The APESB has been made well aware of the IPA's constitutional power to issue a pronouncement in place of an APESB standard where it is in the interests of IPA members to do so."
The IPA's formal statement said the organisation "maintains its firm view that the additional components imposed by the IPA on members [via Pronouncement 11] effectively address the public interest, including:
a. Compliance with the law (FOFA)
b. Compliance with IPA professional standards
c. Compliance with the APES 110 Code of Ethics
d. Mandatory continuing professional education
e. An extensive quality assurance review process
f. IPA complaints, investigation and disciplinary system.
Conway said Pronouncement 11 was intended to provide certainty to the IPA's members while ensuring they were able to "continue to provide high quality, affordable advice to their clients".
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