Technical Alert 02/2025 – Illustrative Management Representation Letter in respect to the provision of Limited Assurance under the Corporate Sustainability Reporting Directive This Technical Alert provides an illustrative example of a management representation letter that may be used by the assurance provider when conducting a limited assurance engagement required under the Corporate Sustainability Reporting Directive (“CSRD”) as transposed in Ireland into Part 28 of the Companies Act 2014. The International Standard on Assurance Engagements (Ireland) 3000 Assurance Engagements Other Than Audits or Reviews of Historical Financial Information – Assurance of Sustainability Reporting in Ireland (ISAE (Ireland) 3000) as issued by the Irish Auditing and Accounting Supervisory Authority is the applicable assurance standard to be used for CSRD sustainability reporting in Ireland. ISAE (Ireland) 3000 paragraph 56-57 provides that: “56. The practitioner shall request from the appropriate party(ies) a written representation: That it has provided the practitioner with all information of which the appropriate party(ies) is aware that is relevant to the engagement. Confirming the measurement or evaluation of the underlying subject matter against the applicable criteria, including that all relevant matters are reflected in the subject matter information. 57. If, in addition to required representations, the practitioner determines that it is necessary to obtain one or more written representations to support other evidence relevant to the subject matter information, the practitioner shall request such other written representations.”   Click here  to access the TA.  Click ISAE (Ireland) 3000 to access the standard.

In every issue of The Bottom Line, we ask students for their thoughts on a particular topic. This month, we want to know: How do you feel about the state of the world in 2025? Alisha Mullins Deloitte In 2025, I find myself reflecting on the state of the world with a sense of both optimism and concern.  On the one hand, technology has brought incredible advancements, from artificial intelligence to sustainability efforts, offering potential solutions to many global challenges. The world is more connected than ever, allowing for cross-border collaboration and the sharing of ideas.  On the other hand, issues such as economic inequality, climate change and political instability remain daunting.  As we move forward, we need to keep a strong focus on making decisions that are not only smart but also ethical and responsible.  For those of us starting our careers, especially in fields like accounting, we have a chance to help shape a world that balances progress with fairness.  It’s an exciting time, but we’ve got a lot of work ahead to make sure the future is a good one for everyone. Shaun Towlson EY Looking at the state of the world in 2025, the mortgage crisis in Ireland stands out as a real concern.  Even though the country has bounced back since the 2008 crash, high property prices and rising interest rates are still making it hard for first-time buyers to get onto the property ladder. Many people are stuck paying high rents with little chance of owning a home.  For those who do own, rising mortgage payments are adding more stress, especially with the cost of living going up.  As an accounting student, I can’t help but see how this affects not just individuals but the economy as a whole. It’s clear that we need better policies and responsible lending to create a housing market that works for everyone—not just the lucky few.  It’s a tough situation, but it’s also an opportunity to learn from the past and make meaningful changes. Niamh McLoughlin  Deloitte As we’re in 2025, climate action feels more urgent than ever.  The reality of climate change is hitting harder now, with extreme weather, rising sea levels and the growing toll on ecosystems.  While there’s been some progress with renewable energy and sustainability efforts, it often feels like it’s not enough.  As an accounting student, I see how important it is for us in the financial world to push for real change—whether it’s supporting green initiatives or advocating for better reporting on environmental impacts.  The business world has a big role to play, and it’s on all of us to ensure that sustainability isn’t just a buzzword but something we actively work toward.  We need to move faster, make smarter decisions and think about how our actions today will impact the planet tomorrow. The time to act is now.    

Jumping straight into a commercial role after qualifying is tough, but there’s a smarter way to get there. Understanding financial accounting first can set you up for success. Heather Gordon explains why it’s worth considering A lot of newly qualified accountants want a “commercial” or “business partnering role” as their first step from practice into industry. The catch? Only about five percent of roles for newly qualified accountants are purely commercial. And, wow, are those hard to get straight out of contract!   But we get it; you’ve just qualified and want to do something different, something commercial, where you can make impactful decisions. That makes sense. Continuum of activity Let’s take a step back and understand the options available to you at the end of your training contract and why it might be a good idea to pursue a financial accounting role first.   Figure 1 below is what we call the continuum of activity. It is a simple visual to help you map out the activity in a basic finance team and understand the context of the roles you will look at after you qualify.  Purely commercial roles sit on the very far end of this spectrum, influencing how a company makes and spends money. To get access to these roles and excel in them, it’s a good idea to spend some time understanding how the business works, how it makes money and the nature of the various stakeholders.  Without knowledge and experience in these areas, your opinion will carry little weight, ability to influence will be negligible and you’ll lose credibility fast.  The good news is that you can partner with the business and get involved in decision-making without having to jump straight into a “commercial” role. How? Here are a couple of things you should consider about a financial accounting role: “Financial accounting” can mean different things in different organisations. However, it is not audit or pure technical accounting – make sure you put those roles in different buckets.  Spending time putting together a profit and loss statement (P&L) and analysing it is priceless if you want to learn how a business makes and spends money. The work is dramatically different from auditing and can be a breath of fresh air for many. In financial accounting, you partner with the business. Business leaders live and die by their P&L; ultimately, you will partner with them to deliver their business results. In financial accounting, you might not get to make decisions about the business directly, but you’ll have plenty of chances to make decisions about the “business of finance”. New reporting formats/visuals, processes and systems are all ways in which you can get directly involved in making decisions for finance in the business. Beyond the job title When you want to move into a commercial role, consider more than just the job itself. Here are some important points to think about before making the switch. Organisation size  Think of the continuum like a coiled spring—collapse it down for a smaller business/entity, and one person does everything.  Expand it for a larger business, and specialisation emerges in various areas such as tax, statistical reporting and technical accounting.  Why does this change? With size comes complexity. Organisational structure The nature of financial accounting activity and how much of the continuum it covers will often be a manifestation of the organisational structure (group function vs shared services sector vs small and medium enterprise, for example).  Job titles mean nothing without context, and every financial accountant role will be subtly different depending on the structure in which it sits and the division of labour on the team. Activity balance  The balance of activity in a job specification can be very telling. Job postings list tasks, but they rarely give those tasks a weighting of time. This continuum can be very useful when reviewing job specs and understanding what the role you are going for actually involves.  Smart accountants don’t get caught up in buzzwords but look beyond the job title to the context of the role. They look at their careers in a structured way and earn the right to an opinion in a business before giving one.

Struggling to balance work, life and study? Edel Walsh shares the power of the “one percent rule” – a simple yet effective approach to tackling exams through small, daily wins that add up to big success You are juggling your personal life, a demanding job and the pressure of professional exams. Time is limited, and there never seems to be enough hours in the day. While you may be trying to study after a long day’s work, you might feel tired and stressed, unsure of where to begin. The sheer volume of information can be overwhelming, leading to procrastination. However, the good news is that small efforts in your study can yield significant results.  Embrace the power of “one percent improvement” or the “one percent rule”, as I call it. This focuses on making small, daily progress towards your study and exam goals. How it works Instead of trying to tackle the entire syllabus in one go, ask yourself, “What can I do today to get just one percent in my exam?” One percent could be: Reading a single page of a textbook and doing a brain dump afterwards. Solving one practice question from your question bank. Reviewing a single accounting standard and doing a practice quiz on this. Testing yourself on your bank of flashcards. Watching a five-minute video lecture and reflecting on what you learned in that video. While initially this may feel slow and like you are making little progress on your syllabus, before you know it, all of the one percent will have turned into a significant amount of study and learning.  When you are studying, I recommend you start your study session by setting yourself a learning goal.  For example, “Today I want to earn one percent in my financial reporting exam by learning and understanding the double entry booking for the acquisition of fixed assets”.  Then, do your focused learning and study for 25 minutes. This might include reading your notes on the topic, doing a brain dump of what you have just read and doing a practice question without the solutions in front of you.  Once your 25 minutes is up, you must hold yourself to account. Did you achieve your learning goal? If yes, celebrate this small win. If not, that’s okay. What can you do the next time you study this topic to enhance your understanding?  Why one percent matters Starting your study is often the hardest part. Sometimes, you don’t know where to start! By focusing on such a small, achievable goal, like “what can I do today to earn one percent in my exam?”, you eliminate the fear of everything that needs to be covered, and you start building momentum.  To run a marathon, you must start by taking the first step. The one percent rule builds consistency in your study routine. Even 25 minutes of focused study to get your one percent each day is far more effective than cramming right before your exam.  Consistency is key to long-term learning and retention. Learning must be slow and effortful for it to be effective. The one percent rule encourages continuous improvement. By consistently making small gains and progress in your study, you will gradually build a strong foundation of knowledge. It focuses on progress, not perfection. This approach shifts your mindset from achieving perfection to celebrating the small wins.  Tips for implementation Schedule dedicated study time  Fifteen to thirty minutes of uninterrupted focus study time each day can make a significant difference.  As you all have busy jobs to contend with as well as your study and personal life, it is important to be realistic about when you can schedule this dedicated study time.  For example, if you commute to work, you could bring your flash cards with you and test yourself on your commute.  If you find you are too exhausted to study when you come home from work, can you get up 30 minutes earlier in the morning and get your studying done before the day starts? Look at the options that are available to you. Use the Pomodoro technique The Pomodoro technique is focusing on a task for 25-minute intervals with short, five-minute breaks.  This helps maintain focus and concentration, boosts motivation and can act as a deterrent to procrastination. It will result in higher productivity.  Reward yourself  Celebrate your small victories. Celebrate your “one percent”.  This will keep you motivated. Embracing growth Accountancy exams are undoubtedly challenging. However, by embracing the one percent rule, you can transform your study from an overwhelming hurdle to a series of manageable steps.  While one percent may seem insignificant, the impact of consistent, incremental progress can be incredible. This compounding effect can lead to exponential growth in your knowledge and understanding. It’s not about achieving perfection. It is about consistent, incremental progress. Focus on making small, daily improvements, and see your knowledge and confidence grow.

Becoming a Chartered Accountant is a commitment that requires intense dedication, determination and resilience. This pursuit, especially during exam season, can become overwhelming and mentally taxing. Niamh Manning shares some strategies to help students manage their mental health during their studies Exam season is a particularly stressful time in a student's life. With a heavy workload, tight deadlines and high expectations, stress is an inevitable part of the journey. But by building resilience, confidence and strength, you can make it as stress-free as possible. It’s all about timing  Proper time management helps reduce stress by allowing us to tackle tasks in a more organised manner. Before you set off on a day of study, be strategic about your day and set goals and actions. Think realistically about how much you can achieve in a day and create a timetable with breaks throughout.  A tried-and-tested study method is the Pomodoro technique, in which you study for 25 minutes and then take a five-minute break. This encourages focused study periods and helps you avoid burnout. It also helps improve your focus and keeps the material fresh in your mind. Treat yourself  Maintaining focus and momentum during study periods can feel like a marathon. The enormity of the task at hand can feel daunting and overwhelming.  Instead of focusing on the long-distance finish line like passing your exams, break down your days and weeks into small manageable goals and celebrate and reward yourself when you reach these milestones.  Short-term rewards can provide a sense of progress and can help you keep going when you hit that proverbial wall.  Health is wealth  While it may seem obvious, we can’t emphasise enough just how important it is to look after your mental and physical health during this time.   Exerting so much energy, physically and mentally on to your study and exams can leave you feeling fatigued, drained and emotional, leaving you vulnerable to exhaustion. Sleeping eight hours a night, exercising daily and eating well are extremely important for protecting yourself from burnout, reducing your stress levels and increasing your energy.  Hydration is paramount as dehydration can lead to headaches, poor concentration and fatigue. Drinking enough water throughout the day ensures that the body remains energised and can process information effectively. Micro-moments of relaxation  We all know that maintaining a healthy lifestyle is essential, but we can often neglect the power of active resting. Taking small moments of relaxation throughout the day can help reset focus and restore energy.  Take a few minutes every day to engage in relaxation techniques.  For example, when you feel tension building, take two to three minutes out to close your eyes, stretch or take a breath. These brief moments can prevent stress from accumulating, lower your heart rate and provide a quick mental rest.   It is also important to include longer periods of relaxation during the week where you completely disconnect from your studies and enjoy the things you love guilt-free. This allows you to recharge your batteries, helps improve concentration and promotes emotional balance. Support network  Due to the intense nature of exams and study, students may shut themselves off and isolate at a time when peer support is important and can significantly benefit them.  A strong support system offers emotional support, advice and a sense of camaraderie. Students can cultivate this sense of support by connecting with fellow students, colleagues, friends and family.  Study groups can also be extremely helpful, allowing participants to share knowledge and collaborate. They also provide a certain study schedule and can help keep you honest about your study efforts.  Many of you will be surrounded by members and alumni who have already gone through the journey and have first-hand experience of being a Chartered Accountancy student. Reaching out to such peers can provide invaluable guidance and encouragement.  Remaining resilient Becoming a Chartered Accountant is a challenging but rewarding journey, and students can excel and persevere by remaining resilient and focused.  It is important to remember that mental health is as important and crucial as academic success, and looking after yourself is imperative for long-term success, both professionally and personally.   Also, keep in mind the many student supports available to you through Thrive. The Thrive Wellbeing Hub provides a comprehensive mental health and wellness programme with a wide range of services tailored to our students’ needs. For more advice and information, check out Thrive’s Wellbeing Hub. Alternatively, you can contact the team by email at thrive@charteredaccountants.ie or phone at (+353) 86 0243294 Niamh Manning is a Marketing and Fundraising Officer with the Thrive Wellbeing Team at Chartered Accountants Ireland

Bryan Rankin, Head of Student Operations at Chartered Accountants Ireland, shares the education team’s top exam tips to help students navigate their studies, maximise resources and prepare effectively for success It seems only a short time since you started this current academic year, but our programmes have already passed the midway point. The finish line is in sight and mock exams are coming up next for CAP1 students.  At this time, students often ask the education team for guidance for the upcoming exams. Not only are the following suggestions relevant to all three programmes, they are also based on the experience of past students and on data collected about their results.  Since the move to exclusively online education delivery through our education platform, the Learning Hub, we have been able to track a whole range of engagement data, including the exam resources with which successful students engaged. We have also looked at data in an effort to understand what resources unsuccessful students did not take up.  We have listed what we think are your priority items to get you best prepared for Chartered exams.  Sample papers Let’s talk about sample papers.  The PDFs are full, exam-standard papers accompanied by the solution. At time of writing, several CAP1 sample papers are already on the Institute website (you’ll need to log in to the Student Centre).  Sample papers are Chartered Accountants Ireland’s version of ‘past papers’. They’re much more valuable than traditional past papers, which can quickly go out of date as exam formats evolve.  Our sample papers and the solutions are updated annually. They cover a broad range of topics and are kept in line with the competency statements weightings. For CAP1 students, your sample papers will be of particular importance as the new, autoscored format comes into effect for all CAP1 exams.  You should be familiar with the question formats at this stage, as every CAP1 session in the Learning Hub contains an ‘exam practice question’ pack, and your live webinars have also brought you through examples of the new question types. However, the sample paper brings it all together with an exam-standard script as compiled by the Institute’s Exam team.  We encourage you to attempt each sample paper in exam conditions. For example, attempt the paper in the location you plan to sit the assessment and limit yourself to doing it in the time allowed.  There is little value in glancing down the sample paper, looking at the topics covered followed by a quick perusal of the corresponding solution. The sample papers are key resources, so you should dedicate some time to them now.  We advise that you attempt one sample paper in preparation for the mock exams, and the others as part of your exam study regime.  Practice papers Each subject has a dedicated practice paper, which is an exam standard paper that is uploaded on the exam platform (Cirrus). The CAP1 students practice paper will be available on Cirrus from 6 March 2025. Practice papers for CAP2 and FAE students will be available soon. Students should check their email regularly for information. You should make each practice paper count. For the main exams, you will have access to one practice paper for all subjects and a maximum of four attempts at each practice paper. It’s a good idea to watch our e-assessment videos explaining how to navigate Cirrus, so you understand the platform long before you undergo any assessment.  Again, we recommend that you keep a number of practice attempts to use in advance of your main exams so you can test your knowledge and timings in an exam setting. No additional attempts will be given. Mocks Do not underestimate the importance of undertaking your mock examination (starting with CAP1 in April, and CAP2 in May 2025).  The mocks should be seen as an essential dry-run exercise for the main exams. As well as a great opportunity to test your knowledge on an exam-standard paper on Cirrus, it’s also another fresh sample paper.  Through the mocks, students are able to test their current knowledge, replicate their exam setting, gain vital first-hand experience and ensure their technology is working before the summer exams arrive. You can sit the CAP1 mocks during the CAP1 mock exams window from 5–13 April, and CAP2 mocks from 3 –11 May 2025. The mock exams may be sat via Cirrus at a time that suits you during that window.  Please note that the mock exams will not be invigilated.  In-person events The last exam prep resource to mention are our in-person student events. The Institute organises two series of in-person events: one at the start of the academic year, which includes an induction event, and the second event having an exams focus. These face-to-face events are about connecting you with other students and offering you proven exam advice. Topics will include study planning, exam preparation and resources, exam day technique, time management and much more. You should treat these events as an essential part of your studies. Your training firms and employers have also been advised about the events (see dates and locations below). Students who joined us last year found them to be extremely beneficial in preparation for the main exams. Places are limited so register via the home page of the Chartered Accountants Ireland website to confirm your attendance. We wish all our students the best of luck in their ongoing studies.   

Navigating student life in a professional body can be challenging, but Chartered Accountants Ireland Student Societies offer invaluable connections, personal growth and career-boosting opportunities to enhance your training experience, writes Meabh Cahill Navigating life as a student of a professional body offers great development opportunities, but it can also present challenges others may not fully understand.  The Chartered Accountants Ireland Student Societies (CASSI) provide a platform for students to connect with like-minded individuals who share similar experiences.  Getting involved in these societies, whether on a regional or national level, can significantly enhance your experience during your training contract, offering numerous personal and professional benefits. Making lasting connections Joining a regional student society offers the chance to meet new people and build meaningful relationships that will benefit your professional career.  CASSI brings together students from across Ireland, allowing you to bond over shared interests and experiences. The social events, wellness activities and regular gatherings foster a supportive network and instil a strong sense of belonging, which is crucial during study leave.  Participating in these activities offers a welcome escape from the pressures of exams and deadlines, serving as a healthy distraction to help relieve stress and improve mental well-being. Personal growth Being part of a student society pushes you out of your comfort zone and helps you develop essential skills like public speaking, time management and decision-making.  Taking on responsibilities such as organising an event, cultivating a social media presence, running for leadership positions or managing budgets can boost your self-confidence and prepare you for future academic and professional challenges. Career booster Involvement in a student society enhances your CV.  Employers highly value the teamwork, leadership and event planning skills developed through student society participation. These experiences demonstrate your ability to manage responsibilities, collaborate and take initiative, qualities that are highly sought after in the job market.  By collaborating with committees such as ACA Professionals and the Chartered Accountants Ireland Members’ Board, students develop extremely valuable connections and gain interpersonal skills in an era where engagement is increasingly limited due to online learning and hybrid working.  Joining a student society will serve you greatly in your career as those involved in student societies often go on to become leaders in the accountancy profession, in both practice and industry, as well as in district societies and the Members’ Board. Student community I would encourage all students to get involved in their regional societies as well as CASSI. Joining a student society offers a broad range of benefits, from improving your social life and confidence to boosting your CV and leadership skills. It’s a great way to manage stress and make a meaningful impact on the student community in Chartered Accountants Ireland. Meabh Cahill is Chair of CASSI and Tax Associate with Grant Thornton  

As US-EU trade tensions continue to escalate, now is the time for Irish businesses to prepare for any potential disruption by assessing their potential exposure and supply chain risks, writes John O’Loughlin On Wednesday, 26 February, during his first cabinet meeting, US President Donald Trump announced tariffs would be imposed on the European Union (EU), stating, “We have made a decision, and we’ll be announcing it very soon. It’ll be 25 percent.” Although no concrete implementation timeline has been disclosed, nor whether these rates will apply universally to all goods or only to certain industries, Trump indicated that levies would be applied “generally”, implying they would “be on cars and all other things”.  Digital services tax memo On 21 February, Trump signed a memorandum directing the US Trade Representative to renew investigations initiated during his first term and assess whether US companies are being adversely affected by countries levying Digital Service Taxes (DSTs). The findings of these reports may result in tariffs being imposed on these countries. Britain, France, Italy, Spain, Turkey, Austria and Canada have been specifically noted within the memo as having DSTs and being subject to this investigation. The administration will also review EU and British policies that may undermine free speech or foster censorship. The Trump administration will also examine EU and British policies that could undermine free speech or encourage censorship. Previous tariffs were suspended to facilitate negotiations for a global tax deal, which have since stalled. Irish and EU reactions Given the heightened risk of a trade war between the US and the EU that has now emerged, companies in Ireland have been increasingly vocal about the potential impact. Glanbia noted that the risk of tariff wars “could potentially impact the importation of key raw materials and/or negatively impact on the group’s international sales channels”. Paul Merriman, founder of AskPaul and CEO of Fairstone Ireland, highlighted that “those who trade in pharmaceuticals and chemicals will see the most notable change as Trump has stated he wants to push manufacturing back onto US soil”. Key actions for businesses US import tariffs on EU goods now seem to be an imminent reality. Key actions businesses in Ireland can and should take include: Assessing your customs data to understand your exposure; Determining the customs origin of goods shipped to the US to see if they are considered to be EU-originating; and Gaining oversight of your end-to-end supply chain, including having the right data, to assess the impact on material sourcing and exposure for tariffs on component parts. Preparing for the future Keeping up to date with the policies and tariff measures implemented by Trump is crucial to evaluating the potential impact of these tariffs and risks to your supply chain. While the exact details of the US President’s EU tariffs are yet to be clarified, understanding your product portfolio and the implications these measures may have on your imports is a vital first step.  John O'Loughlin is Partner for Global Trade & Customs at PwC Ireland You can read John’s earlier article on the global threat of US tariffs at www.accountancyireland.ie

With nearly one-third of UK adults feeling anxious about money, Tom Barrett explores practical ways to manage finances without letting stress take control Financial stress is an increasing reality for many in the UK, with studies reporting a strong link between conditions like depression and anxiety with those experiencing money struggles. According to research from The Mental Health Foundation, close to one-third of UK adults (31%) feel anxious due to their financial status, while more than a quarter (27%) feel stressed.  Understanding financial anxiety   For many people, financial anxiety can manifest into habits like constantly checking their bank balance. A recent report by Lloyd’s Banking Group found that just 55 percent of Brits feel comfortable checking their bank balance, while one in four (23%) worry about their finances at least once a week.   While checking your bank balance isn’t necessarily a bad habit, if you find yourself becoming obsessive or feeling significant anxiety, it may indicate a larger issue and could be worth considering reducing the frequency with which you check your balance.   With 17 million Brits experiencing daily financial anxiety, it’s evident that financial well-being needs urgent attention. Frequently arising from historical money concerns, overspending or the fear of insufficient resources, cultivating a healthy relationship with your personal finances is essential.   So, how can you stay financially aware without triggering stress or worry?   While it is essential to manage your finances, habits such as frequently checking your bank account can lead to stress rather than control. Worrying about money involves not only the figures, but also the emotional weight connected to financial security. Fortunately, there are ways to maintain awareness without allowing it to negatively impact your mental and physical well-being. Schedule regular check-ins Rather than engaging in regular impulsive checks, allocate specific times (weekly or monthly) to conduct a thorough review of your finances. Think of it as a financial check-in and set a recurring appointment with yourself. During each ‘check-in’, review transactions, look for unnecessary expenses (e.g. subscriptions or direct debits you might have forgotten to cancel) and track your progress. Make necessary adjustments and stick to them. Review your direct debits   Don’t become complacent about your direct debits. Dedicate some time to shopping around for better deals on your regular outgoings once or twice a year. This includes things like insurance (e.g. car, home, life), phone contracts, internet providers and energy bills. Comparison sites can make this process easier, helping you save money and improve your bank balance over time. Build a financial safety net  This doesn’t generally need to be said to accountants, but it’s worth repeating for anyone: financial emergency funds are important. If you can do it, setting up a small emergency fund can provide reassurance and reduce stress related to unexpected bills or expenses. Knowing you have a safety net can make checking your finances less daunting and easier to handle.   Use budgeting tools   Even accountants need help sometimes. Budgeting tools are a great way to manage your money without the anxiety of constantly checking your accounts. Tools that help you budget can give you a clear overview of your spending patterns and allow you to stay proactive. Many apps also offer features like spending summaries categorised by type (e.g. food, travel, entertainment) and goal tracking all in one place. These provide valuable insights to keep you on track, which can then reduce your anxiety. Seek support when needed  If worrying about your finances is part of a bigger problem distressing you, it’s important to reach out for support. Whether it’s accessing advice from a charity like caba or seeking out financial resources, there is support out there to help you build healthier money habits, reduce your anxiety about your finances and provide tailored advice realistic to your situation. Tom Barrett is Financial Wellbeing Expert at caba

Dan Byrne explores the turbulent future of ESG investing as political headwinds, shifting investor priorities and global divisions challenge what was once seen as the surefire future of finance Things are heating up around environmental, social and governance (ESG) investing—a movement that, just a few short years ago, was supposed to be the future. For years, it seemed unstoppable, but now ESG is being tested. This is the year of backlash, motivated mainly by the change of government in the US. To put it simply, the Trump administration sees ESG less as the way forward and more as a punching bag. In response, some corporate giants in the US are disowning ESG or shutting up about it. Others are wondering what to do next.  It’s the pressing question for company boards: how do they proceed from here, given the considerable hostility towards a movement that continues to attract significant investment and, in many countries, solid legal support? The mayhem surrounding ESG Some reports suggest that investor support for ESG proposals may be waning.  According to a report from ShareAction, just 1.4 percent of ESG-related shareholder resolutions won majority approval in 2024. While this covers the US, it also includes the UK and EU, territories in which ESG was supposed to have strong backing.  These resolutions are not legally binding, but they can—and often do—pressure boards into shifting their goalposts.  One of the main drivers of the success of these ESG-related shareholder resolutions is the support of any asset managers who might have a stake in individual companies. The ShareAction report also found that the most prominent managers in the world, including BlackRock, Vanguard, State Street, and Fidelity, backed just seven percent of these resolutions.  It also found significant geographical discrepancies among asset managers in general, noting that those in Europe backed 81 percent of resolutions and those in the US backed just 25 percent. These numbers hammer home the idea that ESG lives two separate lives at this point, which isn’t easy to navigate for cross-border businesses. Future outlook With Donald Trump back in the White House and Republicans solidifying their influence on US business, ESG is going to have an even tougher time there. The US administration has already rolled back climate-related rules and made it harder for investors to push companies on sustainability. Trump’s Securities and Exchange Commission leadership is shifting power from shareholders to corporate boards, which means fewer ESG resolutions making it to a vote in the first place. Globally, the picture is different but equally puzzling. Europe still sees ESG as essential, with regulations such as the Corporate Sustainability Reporting Directive (CSRD) making sustainability reporting mandatory. Many Asian markets are also ramping up ESG requirements, particularly in finance.  If ESG now operates in two divided worlds, we can expect the trends in one to spill over into the other all the time, creating more headaches for anyone caught in the middle. Advice for corporate leaders The smartest thing corporate leaders can do right now is to read the room—focus on your stakeholders and what they want. If your investors, customers and regulators care about ESG, it should be a priority. In this scenario, you will need the right strategy and trained talent sitting on your board who will be able to offer the proper guidance when called upon.   However, there is no longer a universal ESG playbook—what works in Frankfurt might be poison on Wall Street. This means businesses need to take a more strategic, tailored approach. For companies operating in multiple markets, this balancing act is even trickier. It’s not just about compliance—it’s about messaging. How do you talk about sustainability in a way that resonates with European investors but doesn’t alienate US stakeholders? How do you maintain ESG commitments without getting caught in the political crossfire? This is where adaptability is key. Training executives and board members on regional ESG dynamics, monitoring regulatory shifts and crafting flexible ESG strategies will be essential. Shifting tides The ESG landscape has diverged, and businesses can no longer afford to take a one-size-fits-all approach in this kind of mayhem. While the movement still holds weight in many parts of the world, the political and financial headwinds emanating the US are impossible to ignore. Corporate leaders need to be pragmatic—ESG isn’t dead, but it is no longer a guaranteed win. The companies that succeed will be the ones that can navigate these shifting tides without losing sight of what matters most to their own stakeholders. Dan Byrne is Content Manager with The Corporate Governance Institute

Welcome to the latest edition of Technical Roundup. In developments since the last edition, the European Commission has released its eagerly anticipated ‘Omnibus’ proposal. Meanwhile, the International Accounting Standards Board (IASB) has published amendments to its 'IFRS for SMEs' standard. Read more on these and other developments that may be of interest to members below. Financial Reporting The Financial Reporting Council (FRC) has issued updated “Guidance on the Going Concern Basis of Accounting and Related Reporting”. The guidance brings together various company law requirements, listing rules, codes and standards and serves as a practical guide to assist companies prepare high-quality going concern disclosures. The International Accounting Standards Board (IASB) has issued its February 2025 update and podcast. The IASB has issued a major update to the IFRS for SMEs Accounting Standard. The standard is either required or permitted in 85 jurisdictions. Included in the updated standard (amongst other things) is a revised model for revenue recognition. The update is effective for annual periods beginning on or after 1 January 2027. The UK Endorsement board is seeking comments and views in relation to the IFRS Foundation’s Proposed Amendments to the Due Process Handbook. Comments are welcomed by 11 March 2025. EFRAG (the European Financial Reporting Advisory Group) is also seeking comments to contribute towards its response to the same project, with comments welcomed by 24 March 2025. EFRAG has published a summary report on its recent event “Financial Reporting: What’s Ahead for 2025”. EFRAG has published its Feedback Statement on the IASB's Exposure Draft on Amendments to IFRS 19 Subsidiaries without Public Accountability: Disclosures. It has also issued a Feedback Statement on the IASB ED Climate-related and Other Uncertainties in the Financial Statements - Proposed illustrative examples. EFRAG are still accepting comments on its Draft Endorsement Advice for IFRS 18 - Presentation and Disclosure in Financial Statements. Accountancy Europe and IFAC, in a joint statement, have outlined ways in which they will work together to support their members and strengthen the profession. Sustainability Omnibus proposals In its release of the eagerly awaited “Omnibus” proposals on 26 February, the European Commission (EC) has proposed some significant changes to its Sustainability Reporting Regulatory framework. These proposals, if approved, will simplify the sustainability reporting rules that many Irish companies have been preparing for in recent years. The proposals will also remove many companies from a mandatory sustainability reporting regime. The proposals will now enter trialogue negotiations between the European Parliament and the European Council where amendments may be made prior to its introduction. Chartered Accountants Ireland will continue to engage with the relevant bodies, and we will update members on any significant developments. To read more about the proposals, see our recent news item. The Omnibus proposals have attracted a lot of attention since they have been published. Readers may be interested in reading the following. Accountancy Europe’s March 2025 Sustainability Update addresses some of the key changes proposed. The Global Reporting Initiative (GRI) has labelled the decision “a backward step for EU sustainability” and has questioned how this will achieve a climate-neutral EU which is one of the key goals set out in the European Green Deal. The European Funds and Asset Management Association have published this infographic outlining some of the proposals expected from the European Commission in 2025. An IFRS Sustainability Stakeholder event took place on 25 February – Disclosure about transition plans.  The recordings of the various sessions are available to view online. The International Sustainability Standards Board (ISSB) has published the recording of its seventh 'Perspectives on sustainability disclosure' webinar Using the GHG Protocol for climate-related disclosures. Episode 8 ‘The future of integrated reporting and integrated thinking’ will be held on March 20th. The ISSB has issued its February 2025 update and podcast. The GRI has published a series of five case studies of companies reflecting on their journey towards compliance with GRI 101: Biodiversity 2024. Accountancy Europe recently held an online discussion with SMEs and discussed some of their sustainability reporting issues. Legislation 2025 Readers are reminded that new UK company size thresholds for micro, small and medium companies will come into force from 6 April 2025. The Professional Accountancy team has added a new UK company thresholds page to the Technical Hub where you can read more about the changes and access a chart showing the pre and post 6 April 2025 thresholds . Other news The Competition and Consumer Protection Commission (CCPC) has published its Annual Mergers and Acquisitions Report 2024, providing details of the mergers and acquisitions notified to, and reviewed by the CCPC, throughout the year. The professional services sector (including legal, accountancy, consultancy, engineering, and veterinary) was the most prominent sector, with 13 merger notifications received. In February 2025 the Central Bank of Ireland (CBI ) published its 2025 Regulatory & Supervisory Outlook report. CBI states that the report sets out the Central Bank’s perspective on the key trends and risks that are shaping the financial sector operating landscape, and its consequent regulatory and supervisory priorities for the next two years. Artificial Intelligence is spotlighted again this year with the Central Bank expecting to be designated as a “Market Surveillance Authority” by the Government as part of a multi-lateral system of AI supervision in Ireland and the EU. Another spotlight is Geopolitical Risks: and the report outlines a Framework for Navigating Heightened Uncertainty. Other topics which may be of interest include the piece on credit unions including Credit Union Sector Key Risks Overview. The Global Reporting Initiative (GRI) has launched a consultation on a revised version of ‘GRI 404: Training and Education 2016' and a new standard titled ‘Working Parents and Caregivers’. The consultation is open until 29 April 2025. Enterprise Ireland recently launched its new five-year strategy, Delivering for Ireland, Leading Globally (2025-2029) which sets out targets to increase jobs and to increase exports, focussing on strengthening skills and talent, funding ambition and embracing sustainability. In episode 12 of its podcast series “The Fast Future”, IFAC look at ways in which SMEs can embrace technology. The Charities Commission for Northern Ireland has released a short video outlining what it means to be a charity trustee. Charities representative body, the Wheel, is encouraging its members to support an initiative being undertaken by the Government’s Anti-Money Laundering Steering Committee, which is aimed at helping to assess the AML risk to the non-profit sector.  Artificial Intelligence (AI) - updates The Irish AI Advisory Council was established in January 2024 to provide independent expert advice to government on artificial intelligence policy. In February 2025 it released its latest report  “Ireland’s AI Advisory Council Recommendations --Helping to Shape Ireland’s AI Future”. One of the areas the report covers is AI Literacy and education. AI literacy is something which readers may be aware Article 4 of the AI Act requires providers and deployers of AI systems to ensure a sufficient level of. The report also calls for government guidelines for use of generative AI and a system to access AI tools. For further technical information and updates please visit the Technical Hub on the Institute website.    This information is provided as resources and information only and nothing in the information purports to provide professional advice or definitive legal interpretation(s) or opinion(s) on the applicable legislation or legal or other matters referred to in the information. If the reader is in doubt on any matter in this complex area further legal or other advice must be obtained. While every reasonable care has been taken by the Institute in the preparation of the information we do not guarantee the accuracy or veracity of any resource, guidance, information or opinion, or the appropriateness, suitability or applicability of any practice or procedure contained therein. The Institute is not responsible for any errors or omissions or for the results obtained from the use of the resources or information contained herein.  

Chartered Accountants Ireland has identified a common thread of discussion at our recent events and among our members more broadly, that of “burnout in the profession”.  Reflecting on the 2025 International Women’s Day theme #AccelerateAction and motivated by the desire to better understand and address this issue, the Institute team consulted with well-being leaders and members at Chartered Accountants Ireland, who are deeply invested in the topic - Dee France, Thrive Wellbeing Manager, Dr. Caroline McGroary FCA, Lecturer in Accounting at Dublin City University and Institute Past President and former Chair and Partner with Grant Thornton Ireland, Sinead Donovan FCA.  What is burnout? What we learned is that there are common misunderstandings about the true meaning of burnout. While many consider burnout to be a state of physical exhaustion, it is in fact a multidimensional concept with three main components: exhaustion, cynicism and low professional efficacy, a definition now accepted by the World Health Organisation. It is also part of a complex psychological process, which is impacted by a range of factors, leading to a host of negative outcomes, including serious mental health and physical health issues, decreased job satisfaction and increased turnover intentions, among many more.   Challenging assumptions and seeking solutions We also learned that while much research labels burnout as a “female experience”, these findings must be challenged. The reality is that burnout can be experienced by any gender, at any stage of career, in any profession. Generalisations such as this claiming that we, as women, are more prone to burnout than other genders, may imply that we are less resilient and more prone to stress, resulting in a range of negative career outcomes.  Burnout has also emerged as something of great concern to Gen Z (those born in the mid-90s) and Millennials (those born in the early-1980s). In the Deloitte 2024 Gen Z and Millennial Survey, respondents outlined that work-life balance remained a top priority. That said, many feel they don’t achieve this balance due to long working hours, which is resulting in significant stress. In addition, the 2024 ICBE (Irish Centre for Business Excellence) Business Excellence Skillnet and UL Study found that future business leaders were reluctant to “step up” to leadership roles due to concerns over work-life balance.  In response to these studies, Immediate Past President of Chartered Accountants Ireland, Sinead Donovan, highlighted that burnout should not be an accepted culture in any profession. She further reiterated that as leaders in the accountancy profession, we have a duty to our current members, and the next generation, to show what a purposeful career looks like and how we can exist, and indeed thrive, in these roles without experiencing burnout. It should not be accepted as a side-effect of a successful career. To this end, there was collective agreement that while there is a lot of valuable work being done by wellbeing teams across professions to support members, given the prevalence of, and increased attention on, burnout in recent times, we need to learn more about it and the extent to which it affects members in our profession. We also need to learn how to prevent it from occurring in the first place so that it becomes more of a rarity, not just another stepping stone to be endured.  #AccelerateAction – Stronger together Therefore, as we celebrate International Women’s Day 2025, we encourage our many stakeholders in the accountancy profession, as well as colleagues in other professions, to #AccelerateAction against burnout and to support each other while doing so.