In this week’s Sustainability/ESG bulletin read how Irish SMEs favour green investments despite cost barriers, the Just Transition Commission, and the new Nature Strategy Accelerator Programme from Business for Biodiversity Ireland. Also covered are updates from Northern Ireland and the EU, and calls from the global accountancy profession for G20 leaders to focus on sustainability, transparency, and governance as the 2030 deadline for the United Nations Sustainable Development Goals (SDGs) approaches, as well as the usual articles, resources and upcoming events.   Ireland news   Irish SMEs favour green investments despite cost barriers, survey finds A new survey by the Strategic Banking Corporation of Ireland (SBCI), the State’s promotional financial institution, has revealed a strong preference among Irish SMEs for green investments that reduce energy costs, such as solar panels and energy-efficient lighting. Among the barriers to investing in sustainable options are cost (45%), payback period (42%) and uncertainty about the benefits of sustainability investment (22%). A diverse range of motivations for businesses embracing sustainable practices were cited, including hoping to play a role in climate action by reducing emissions (26%) and aiming to decrease heating and electricity costs (29%).     Ibec and Davy Horizons launch comprehensive CSRD Toolkit for Businesses Business group Ibec, partnering with Davy Horizons, has published a toolkit for large and small enterprises, Unpacking CSRD A guide for business. The guide aims to be a comprehensive resource for understanding and implementing the CSRD requirements. It has insights and guidance for both organisations in scope of CSRD, and small enterprises beginning their sustainability journey and who may be part of the supply chain of an in-scope organisation.   €88.5m partnership for offshore wind and infrastructure project The Port of Cork Company and ISIF are partnering to develop new port infrastructure in Cork Harbour. The €88.5 million investment will support Ireland’s first offshore wind projects and enhance the Cork Container Terminal. The investment also aligns with the Port of Cork’s MasterPlan 2050 to improve multi-purpose berths and increase efficiency for international customers, and will support Ireland’s transition to Net Zero.   Government appoints members to Just Transition Commission The government has approved the appointment of members to the Just Transition Commission. This independent advisory body will advise and support the Government on ensuring the climate transition is achieved fairly, and on the potential impacts, risks and opportunities for different sectors. Membership of the Just Transition Commission comprises independent experts from a range of backgrounds, as well as nominees from the five ‘pillars’ of social dialogue: Agriculture, Community and Volunteer, Employer, Environment and Trade Union.   Minister announces advisory committee for Ireland’s Nature Restoration Plan The Minister for Nature, Heritage and Electoral Reform, Malcolm Noonan TD, announced the establishment of an independent Advisory Committee on Nature Restoration to support the development of Ireland’s Nature Restoration Plan (NRP). The NRP is to be developed under the Nature Restoration Law and is due to be submitted to the EU Commission by 1 September 2026. A Finance Working Group will consider the financial aspects of the plan to 2030 and beyond, including socio-economic impact evaluation, the maximisation of existing programmes, and new financial mechanisms.   Business for Biodiversity Ireland releases Nature Strategy Accelerator Programme for businesses Business For Biodiversity Ireland (BFBI) has released its Nature Strategy Accelerator Programme to guide Irish businesses to develop a strong, credible strategy to identify their impacts and dependencies on nature and ensure compliance with the new EU legislation regarding environmental reporting.  The Nature Strategy Accelerator Programme  reflects a model of best practice in line with current international developments, tailored to the Irish context and aligned with grants available in Ireland through Local Enterprise Offices, Enterprise Ireland, Údarás or the IDA.   National Youth Assembly Calls for Tax Incentives on Eco-Friendly Items The Report from the third National Youth Assembly on Climate has called for less taxation on eco-friendly items. The annual assembly, which this year took place on 11 April, is part of the government’s National Dialogue on Climate Action and annual Climate Action Plan. Among the many recommendations from the young people were for initiatives, careers and a rewards systems in place in order to keep people engaged in climate, and more taxation on non eco-friendly items.   CCAC warns of costs exceeding €8 billion for failure to meet climate targets The cost of failing to meet EU targets could exceed €8 billion for the period up to 2030, warns the Climate Change Advisory Council (CCAC) in its recently published Annual Review 2024 - Cross Sectoral Review. The report also calls for an end to Ireland’s reliance on – and subsidies for – harmful, expensive and unsustainable fossil fuel use. The CCAC also called for a detailed implementation plan to deliver the diverse range of bioeconomy and ecosystem services required to maintain a sustainable, resilient and biodiversity rich economy.   Northern Ireland news   In a letter to the Exchequer Secretary to the Treasury, Chartered Accountants Ireland  has highlighted a range of tax policy and tax administration recommendations and concerns ahead of next week’s Budget and the 2025 Spending Review. Among the recommendations made was for UK tax policy to be used to help drive behavioural change which in turn should result in decreasing carbon emissions and promoting of nature-positive measures. Suggestions included introducing incentives to make investing in nature-positive actions more attractive to businesses, and ring fencing for nature restoration some of the receipts from the climate change levy currently imposed on all businesses.   Northern Ireland’s Department of Agriculture, Environment and Rural Affairs (DAERA) is consulting on a draft environmental principles policy statement (EPPS), which sets out how five internationally recognised environmental principles should be interpreted and proportionately applied to policy-making. The consultation will close on Monday 9 December 2024 and can be accessed here.   The Northern Ireland Budget Sustainability Plan has set out how the Executive intends to meet the condition in the financial package to raise at least £113 million in additional revenue. Commenting on the Plan, which was published this month by the Department of Finance following agreement by the Executive, Finance Minister Dr Caoimhe Archibald, emphasized the importance of a vibrant economy to sustainably fund public services and meet increasing demands: “We need budgeting and financial management that looks at tomorrow as well as today.”   Europe news The European Parliament has demanded an EU budget for 2025 that focuses on improving people's lives, boosting competitiveness, and addressing current challenges. Parliament wants to boost programmes vital in, among other things, helping people suffering from natural disasters, improving climate action, managing migration and security needs, and strengthening EU support for neighbouring regions experiencing geopolitical and humanitarian crises.    The EU Committee on the Environment, Public Health and Food Safety has adopted its demands for the UN Climate Change Conference COP29. Phasing out fossil fuels and related subsidies and adopting carbon-pricing mechanisms worldwide are among the matters in the resolution to be put to a vote by the full house during the plenary session of 13-14 November. The Commission had secured ambitious EU negotiating mandate for the ‘triple COPs’ on climate, biodiversity and desertification earlier this month.   The European Commission has selected 85 net-zero projects to receive €4.8 billion in grants from the Innovation Fund. The selected projects are set to enter into operation before 2030. Over their first 10 years of operation they are expected to reduce emissions by about 476 million tonnes of CO2e. This will contribute to European decarbonisation objectives, reducing emissions from those sectors that are particularly difficult to decarbonise.    The Commission has granted more than €380 million to 133 new projects across Europe under the LIFE Programme for environment and climate action. The allocated amount represents more than half of the €574 million total investment needed for these projects - the remainder coming from national, regional and local governments, public-private partnerships, businesses, and civil society organisations. Of the 133 projects, 26 will promote a more circular economy and quality of life, 25 will support nature and biodiversity in a wide range of areas, 23 climate change resilience and mitigation projects, and 59 will aim to ensure a clean energy transition.   The European Commission has announced a proposal to amend the three EU regulations to ensure that EU funds can be quickly mobilised in support of recovery from climate-related disaster. The proposal will now go through the ordinary legislative procedure in the European Parliament and the Council of the European Union. The proposals come as a direct response to the floods affecting Central and Eastern European countries and wildfires in Portugal in September 2024.   World news The Biodiversity COP16 is currently underway in Cali, Colombia, from October 21 to November 1, 2024. This summit focuses on implementing the Kunming-Montreal Global Biodiversity Framework, which aims to halt biodiversity loss by 2030. Delegates are discussing strategies to protect ecosystems and mobilize resources for global biodiversity conservation. Read more here.. The International Energy Agency (IEA) predicts that demand for electricity will surge over the next decade, due to new factories, electric vehicles, air-conditioners and data centres. In its annual World Energy Outlook report, the agency calls for urgent public-private dialogue between policymakers, the tech sector and the energy industry ,and reportedly predicts that growth in renewable energy could potentially cause coal, oil and natural gas use to peak this decade. The global accountancy profession, through the International Federation of Accountants (IFAC), is urging G20 leaders to focus on sustainability, transparency, and governance as the 2030 deadline for the United Nations Sustainable Development Goals (SDGs) approaches. A new publication, G20 Call to Action 2024: Building a Just World & a Sustainable Planet, underscores the essential role high-quality sustainability information, reporting and assurance play in achieving global sustainability targets.   Did you know Dublin is currently the 3rd most congested city in Europe due to its heavy reliance on private vehicles, which contributes to air pollution and compromises Ireland’s sustainability goals (particularly Goal 11: Sustainable Cities & Communities). This is according to the recently published Capital City, the first report from the Dublin City Taskforce established by Government in May 2024 to view measures required to rejuvenate Dublin City Centre. FC Barcelona is to host first-ever carbon neutral general assembly. As part of its 2026 Strategic Plan focused on sustainability, the club will measure and compensate for greenhouse gas emissions from all activities related to the event, including transportation, energy use, and catering. Articles Sustainable practices power business growth (Accountancy Ireland - Briefly) Employers face a rising climate conundrum - Younger workers in unexpected places are pressing their firms to take serious action on emissions (FT) How the accountancy sector can boost business support for the SDGs (Sustainable Views - FT) New York officials call for big oil to be prosecuted for fuelling climate disasters (The Guardian) Irish firms less worried about geopolitical disruption than counterparts abroad (The Irish Times) CCAC urges end to subsidised fossil fuels, says failure to meet EU targets 'could cost Ireland €8bn' (The Journal) The Offsets Whack-a-mole (Bloomberg Green) New Resources Accountancy Europe has published its Accountancy Europe Sustainability Update - October. Highlights including CEAOB issuing guidelines on limited assurance and IAASB approves its global sustainability assurance standard Donal Daly, Ingrid De Doncker and a team of authors have published The Customer is the Planet: A handbook for sustainable business. Available on Amazon in paperback and, hardback and Kindle, this book’s structure mimics the European Sustainability Reporting Standards and explains the why, what, so what, of the problem or opportunity in each key area of sustainability. Upcoming Events Convention on Biological Diversity, COP16 Date: Oct 21-Nov 1 Location: Colombia   Chartered Accountants Ireland, Practical considerations for preparing for CSRD implementation In the third of our series on EU sustainability reporting, join Dee Moran, Chartered Accountants Ireland and guest, as they review some of the practical challenges that companies have faced in preparing to comply with the CSRD. Virtual, 6 November, 10-11   Chartered Accountants Ireland, Risk, Governance and Leadership Conference 2024 (ROI/NI) This conference includes a section on sustainability supply chain due diligence and value chain reporting Virtual, 7 November, 9.30-13.30   Dublin Chamber, Sustainable Business Practices - Strengthening Customer Connections Designed for professionals in customer-facing roles, this workshop will provide the tools to incorporate sustainability into customer engagement strategies, leading to improved satisfaction and loyalty. Virtual, 15 November, 9.30-12.30   IAFA & IAASA  Integrating Sustainability Reporting and Assurance into Accounting Education Conference The conference is a collaboration between IAFA and the Irish Auditing and Accounting Supervisory Authority (IAASA) and aims to build awareness of the implications of sustainability reporting & assurance for accounting education, and to foster meaningful dialogue & collaboration among stakeholders to drive positive change. In person, 1 November, Maynooth University   Accountancy Europe, Shaping the future of sustainability assurance engagements Join Accountancy Europe and the International Federation of Accountants (IFAC) to discuss the latest developments in the world of sustainability assurance. In this webinar, you will hear insights from the International Auditing and Assurance Standards Board (IAASB), the Committee of European Auditing Oversight Bodies (CEAOB) and the Nordic Federation of Accountants. Virtual, 12 November, 15.00-16.45 (Brussels Time)   iQuest & Business Post, ESG Autumn Summit Date: Nov 20th Location: Croke Park     Network for Chartered Accountants working on ESG projects Are you a Chartered Accountant working in ESG or working on ESG-related projects? Would you like an opportunity to engage with other Chartered Accountants working in this space to share insights, challenges and opportunities? Chartered Accountants Ireland now has a network to allow members working in sustainability/ESG to meet and discuss all matters of interest re ESG and accounting. Next meeting: November 27, 14:00-15.30 Zoom If you would like to attend, please email sustainability@charteredaccountants.ie     You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.

A history of the golf society, prepared for our centenary celebrations in September 2023 is available to download here. To read our blog about the event click here and you can view the photos here.

Click here to view photos from the 2024 annual outing to County Sligo Golf Club at Rosses Point. A full match report is available on our blog.

Last year at the 2023 Annual outing we launched our first ever social golf event. Those who took part enjoyed a lesson at the driving range with County Sligo Golf Club's resident professional before being guided by our member Bryan Kilfeather around 9 holes of the Bomore course.Those who played tell us they had a fantastic time on the golf course, enjoyed lunch afterwards as a group and then joined the Captains dinner that evening. They have all promised to return for 2024 and you are invited to join in the fun! This event is all Chartered Accountants Ireland members who have an interest in golf. Beginners are welcomed! If you would like more information contact Arlene.

Deirdre Moran, Professional Accounting lead and Lilian Halpin technical manager on the Professional Accounting team in the Institute attended the Corporate Enforcement Authority's second annual conference on 17 October. A very interesting day and here are some of the learnings that our members may be interested in …. Please click this link to the CEA website where you can scroll to the bottom of the page to access some of the slides and lectures which were made available from the day. Minister Dara Calleary opened proceedings with an overview of corporate and regulatory government policies including reference to the passage of the Companies (Corporate Governance, Enforcement and Regulatory Provisions) Bill 2024 through the houses of the Oireachtas with the intention of bringing the Bill to the Seanad in November. Mr Justice Brian Murray gave an enlightening lecture on legal costs and third-party funding, referencing caselaw on whether winner takes all and considering whether costs follow the event. James Dwyer SC provided an overview of sentencing corporate offences with fines being the penalty mostly imposed on companies as they cannot be imprisoned, bailed or do community service. We learned that community service is a method of punishing companies in the US. Cliona Kimber SC spoke on enforcing directors’ fiduciary duties discussing the very interesting concept of a cipher director and directors’ duties under the Companies Acts. Declan Hughes Sec. General of DETE told the audience about European and domestic enterprise policy referring to the government’s white paper on enterprise and also the Department’s work in areas such as CSRD, CSDDD and the Artificial Intelligence Act, transposition of which is ongoing. He also welcomed the role of Michael Mc Grath TD as EU Commissioner designate for Democracy Justice and Rule of law whose portfolio will include company law. Sinead Donovan of Grant Thornton Ireland took the floor to describe the changing face of the accountancy profession and set out some of the top issues for accountants including a decline in numbers going into the profession. She dismissed a myth that accountants might be boring pointing to areas of interest such as AI, data, ESG and M&A work. Derarca Dennis, Partner EY Ireland was the last speaker before lunch presenting on sustainability and the issues and challenges facing boards .She referenced the Greenwashing Directive which is coming down the line and spoke about other topics including the top 3 things investors want companies to focus on in 2024 and challenges to developing a sustainability strategy .She alluded to  compliance risk being  a big risk that reporters worry about and the importance of protecting against litigation. First up in the afternoon was Henry Mathews Head of Special Financial Crimes Unit DPP’s office. He outlined some of the reasons the DPP might prosecute -existence of a prima facie case, reasonable prospect of success (50/50) and public interest. He reminded the room that there is no deferred prosecution process in Ireland and also said that it’s likely that corporate” mens rea” offences similar to those in the UK under the Economic Crime and Corporate Transparency Act, 2023 will happen in this jurisdiction also, in time .He referenced the cases of DPP vs T.N 2020 IESC 26 and DPP vs Hegarty 2011 IESC 32 in considering what a “manager “ is. To round off the afternoon colleagues from the UK were hosted. Dean Beale, CEO and Dave Magrath Director of Investigation and Enforcement Services, UK Insolvency Service spoke about the view from the UK of Insolvency and corporate enforcement including the mention of a change from prosecuting insolvent companies only, to live companies also .Emma Luxton Interim Chief Operating Officer, UK Serious Fraud Office finished off the conference speaking about fighting fraud and bribery tools, techniques and technology with  crypto experts, machine learning experts and tools ,data analysts and a graphics team now part of  the staff of the SFO in the continued fight against fraud . This information is provided as resources and information only and nothing in these pages 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 pages. 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 these pages, 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 in these pages.    

Institute recognised as one of the 25 most innovative organisations using AI and automation at UiPath AI25 Awards   Award comes as Institute becomes first Professional Accounting Body to roll out full Adaptive Learning for students  Chartered Accountants Ireland has been recognised for its use of robotic process automation (RPA) to enhance the student enrolment experience with an award at the UiPath AI25 Awards. The awards recognise organisations using AI and automation to increase productivity; transform customer experiences; deliver substantial return on investment; and support corporate, environmental, social, and governance (ESG) initiatives.  Chartered Accountants Ireland is the largest professional body on the island of Ireland, representing over 38,400 members and educating 6,600 students. Each year, from June to September, the Institute processes enrolment and exemption applications from over 2,000 students seeking to commence the ACA programme to become a chartered accountant. Chartered Accountants Ireland has the largest share of new student registrations in the Republic of Ireland and is the fastest growing professional accounting body in Ireland and the UK. The Institute’s automation solution has significantly reduced the processing time of applications from weeks at peak times, to only hours. This automation ensures that exemption approvals reach candidate students and their training firms faster than ever before. The award winners were selected by a panel of expert judges.  Ian Browne, Director of Education, Chartered Accountants Ireland said  “We are proud to receive this global recognition from UiPath for our integration of AI and automation into what are complex enrolment and exemption processes. This award demonstrates our continued dedication to delivering innovation and excellence to the accounting profession in Ireland, from the moment that aspiring chartered accountants engage with our team for the first time as student applicants.  “These technologies will continue to play a crucial role in shaping the future of accounting, and the work our members do in every area of the economies on this island and around the world, and we are committed to staying at the forefront of this transformation.” Bobby Patrick, Chief Marketing Officer at UiPath said “We are pleased by the overwhelming quality of AI25 entries we received from customers globally. These 25 companies exemplify the transformational impact of AI and automation, having effectively demonstrated and executed new opportunities to advance innovation and improve productivity.  “We are proud to support customers with their AI and automation journeys as they take full advantage of UiPath's platform to deliver transformational outcomes with fast time-to-value. We look forward to continue leading unprecedented innovation with the next chapter of automation which combines robots, AI agents, and humans.” This application of RPA is just one example of the Institute’s use of technology to reframe the delivery of education and assessment for the next generation of accountants. Seven years ago, Chartered Accountants Ireland commissioned extensive research into the future of the accountancy profession and the needs of employers. A future educational strategy was subsequently agreed.     Chartered Accountants Ireland’s early adoption of online education delivery, drawing on automation and AI as far back as 2019, enabled it to move delivery entirely online in March 2020, with minimum disruption to the student learning experience.  Just this month, the Institute's new learning platform was launched, introducing Adaptive Learning to students for the first time. Chartered Accountants Ireland is the first Professional Accounting Body to roll out full Adaptive Learning modules and one of the first educational institutes across any industry globally. A data-driven, personalised and participative learning journey, Adaptive Learning allows the learner to choose their level of proficiency at the start, and progress according to their assimilation of the material and resulting proficiency.           

With colder, darker days setting in, people may notice they experience a dip in mood, feel more irritable, fatigued and less motivated. The reason for this may be Seasonal Affective Disorder (SAD) or the less-severe form, the winter blues. SAD symptoms are very similar to depression but has a seasonal pattern. The HSE estimates approximately 7% of the population experiences SAD. Here, we share some timely information and advice on how to combat the winter slump.  What causes this? Nobody really truly knows what causes the winter blues or SAD, but some experts believe SAD is caused by fewer hours of sunlight during the winter months that deplete your body’s levels of serotonin – often called the ‘feel-good’ chemical. Low light levels are thought to affect the production of melatonin, which can disrupt the body’s internal clock (or circadian rhythm).  If you’re diagnosed with SAD, your GP may recommend treatment with antidepressants called selective serotonin re-uptake inhibitors (SSRIs), alongside talking therapies, such as cognitive behavioural therapy.  But if you have milder symptoms, we have some tips you can try to protect yourself against the winter slump: See the light Sunlight is known to activate a specific hormone called serotonin. This hormone is responsible for regulating and elevating your mood, helps with sleep and wakefulness and is linked to feeling good and living longer. Try getting outside into the sunlight as early and often as possible throughout the day.  Get help from tech If access to bright sunlight isn't possible, studies have shown light treatment/therapy is another effective way of reducing the symptoms of SAD. Many people with SAD or the winter blues respond well to light therapy, which involves sitting in front of a special light therapy lamp – or light box – at home. You may also find dawn simulators useful,  they use a gradual light to wake you up in the morning, simulating a summers morning. Always remember to check any light therapy devices to make sure that it has been made by a fully certified manufacturer and is designed for treating SAD. Additionally, you could try using aromatherapy and the use of essential oils to help boost your mood. As some studies suggest that it could potentially lessen any symptoms. Get active Physical activity is widely thought to be an effective way to boost your mood, and there’s a solid body of evidence that suggests exercise may help to alleviate depression. Exercising outdoors, especially when it’s sunny, may have an even stronger effect on SAD/winter blues symptoms. You don’t have to turn into a fitness fanatic. Just being more active in your day-to-day life can have a huge benefit on the way you feel, especially during the winter. Eat mood-boosting foods Many experts believe what you eat can make a huge difference to your mood, especially during the winter, particularly foods that contain the amino acid tryptophan, which converts into serotonin in the brain. Foods rich in tryptophan include bananas, turkey, chicken, fish, cheese, eggs, milk, nuts, avocados and pulses. Some also believe omega-3 fatty acids may enhance serotonin activity, so eat oily fish such as salmon, mackerel, sardines and fresh tuna at least once a week (if you’re a vegetarian or vegan, try adding flaxseeds or chia seeds for an omega-3 boost). Stay warm Some SAD sufferers say their symptoms improve when they keep warm, so make sure your home and workplace are properly heated and wrap up well when you go outdoors.  If you’re worried about the financial cost of turning up your thermostat, get in touch to find out about CA Support's emergency financial assistance.   Keep in contact When feeling down, it’s natural to want to shut ourselves away from the world. It’s important to keep our social muscles active, as positive relationships bring both joy and perspective to our lives. Make sure you arrange regular catch-ups with your family and friends throughout winter.  How we can help The Thrive wellbeing hub provides free emotional supports to members, students and family members. We offer a confidential space for you to talk, whether you need a listening ear, wellbeing advice or professional counselling, we are here for you. You can contact the thrive wellbeing team by email at: thrive@charteredaccountants.ie or by phone: (+353) 86 0243294

In Irish news today, the Institute, under the auspices of the CCAB-I attended the recent meeting of the Department of Finance Business Tax Stakeholder Forum and Revenue has amended the guidance on Relief for Investment in Corporate Trades to reflect revisions arising from the General Block Exemption Regulation and Finance (No.2) Act 2023. In UK news, ahead of next week’s Budget the Institute has written to the Exchequer Secretary to the Treasury on a range of tax policy and tax administration areas and this week’s miscellaneous updates features updated guidance on VAT on private school fees. In International news, the OECD has published a manual on Effective Mutual Agreement Procedures. Ireland The Institute, under the auspices of the CCAB-I, attended the recent meeting of the Department of Finance Business Tax Stakeholder Forum. Revenue has amended the guidance on Relief for Investment in Corporate Trades to reflect revisions arising from the General Block Exemption Regulation and Finance (No.2) Act 2023. UK Ahead of next week’s Budget the Institute has written to the Exchequer Secretary to the Treasury on a range of tax policy and tax administration areas. This week’s miscellaneous updates features updated guidance on VAT on private school fees. International The OECD has published a manual on Effective Mutual Agreement Procedures. Keep up to date with all the latest Irish, UK, and international tax developments through Chartered Accountants Ireland’s Tax Newsletter. Subscribe to the Tax News by updating your preferences in MyAccount. You can also read this week’s post EU exit corner.

The Christmas Lunch 2024 is now open for booking! Our keynote speaker is an Olympian, a Chartered Accountant and a business leader. She will be talking about the lessons she learned in high performance sport that she uses regularly in business. The event this year was kindly supported by Finbarr Filan. Spaces are booking up quickly, so reserve your space now here or contact Arlene for more details.

The shift to remote and hybrid working kickstarted by the pandemic prompted Ireland’s big four firms to rethink their management control systems, write Stefan Jooss and Michelle Carr The COVID-19 pandemic drastically altered the way we work, pushing firms to rethink their traditional management systems. Before the pandemic, management controls were designed for an in-person, office-based environment. However, with the sudden shift to remote and hybrid work models, firms had to quickly adapt their management control systems to ensure they could continue functioning effectively. Our research looked at how the big four accounting firms – Deloitte, EY, KPMG and PwC – changed their management control systems during the pandemic. This research included 42 interviews with human resource directors, audit and tax directors, and associates across these firms to understand how their management control practices evolved. What we mean by “management controls” When we talk about management control systems, we mean the processes, tools and practices firms use to ensure that employees are working towards their goals. These systems influence behaviour, decision-making and how resources are used. Traditionally, management controls have been structured around four key areas: Actions (what employees do); Results (what they achieve); Personnel (who they are); and Culture (how things are done in the firm). In the past, these controls worked well for office environments where employees could be monitored closely. With remote and hybrid work, however, firms had to rethink these systems to ensure they could still meet client demands and support their employees. The shift to hybrid work During the pandemic, it became apparent that few firms had a clear idea of how to make remote and hybrid work a long-term solution. A McKinsey survey found that nearly 70 percent of firms lacked a solid plan for implementing these new work models. For the big four firms, this presented a significant challenge. They needed to balance client expectations with the new realities of working remotely. Our study found that, while hybrid work presented unique challenges, it also created opportunities to rethink traditional management controls. We found that big four firms reimagined their personnel and cultural controls to reflect the new working environment, while also making adjustments to their action and results controls. Key changes to management controls include: Personnel and cultural controls To maintain a strong company culture and ensure employee well-being, the big four firms had to focus more on virtual team-building activities and regular check-ins. This helped maintain connectivity among teams, even when working remotely. Training and development also shifted online, ensuring employees continued to grow professionally despite being away from the office. Action controls Remote work required a greater emphasis on monitoring daily activities. While the big four firms had systems in place for tracking work, they had to increase their reliance on digital tools to ensure work was being completed effectively. This meant more frequent check-ins and the use of collaboration platforms like Microsoft Teams or Zoom to keep teams connected. Results controls Evaluating employee performance in a hybrid work environment was a challenge. Traditionally, performance reviews were based on clear, measurable goals, but with remote work, firms had to be more flexible. We found that the big four firms started using more informal and frequent performance evaluations, focusing on ongoing feedback rather than just yearly reviews. How these changes are shaping the future of work The changes made to management controls during the pandemic aren’t just temporary solutions. Big four firms have been considering hybrid work as part of their long-term strategy. At the same time, we have recently seen increasing efforts to a return to office, so time will tell whether there is longevity in hybrid work in the accounting sector. Our research found two competing perspectives to balance: 1. Client perspective Big four firms need to maintain business continuity and meet high professional standards. Clients expect seamless service, and firms need to ensure their teams are working efficiently, even in a remote or hybrid environment. 2. Employee perspective On the other hand, employees want flexibility, better work-life balance, and opportunities for career development. Hybrid work offers these benefits, but firms need to ensure they don’t lose the sense of connectivity and learning that comes from working in an office environment. What this means for accountants As accountants, you are likely seeing the effects of these changes in your own work. Here are a few practical takeaways from our study that can help you navigate this new landscape: Adapt to hybrid working: Hybrid work may continue, so it’s essential to get comfortable with new tools and systems. Whether it’s project management software, video conferencing, or performance tracking tools, mastering these will help you stay connected and efficient. Stay engaged with your team: Even though you may not be in the office as often, it’s important to maintain strong relationships with your colleagues. Regular check-ins, virtual meetings, and team-building activities can help create a sense of belonging, even when working remotely. Embrace flexibility: Performance evaluations are becoming more flexible, focusing on ongoing feedback rather than just end results. Be proactive in seeking feedback from your managers and use it as an opportunity to grow and develop. Balance client expectations and work-life balance: Clients expect the same high standards, even when you’re working remotely. However, hybrid work allows for better work-life balance, so take advantage of this flexibility while ensuring you continue to deliver top-quality service. Looking Ahead As firms continue to adjust to hybrid work, management control systems will keep evolving. The changes made during the pandemic have provided valuable insights into how firms can operate more flexibly while still maintaining high standards. For accountants, this means staying adaptable, learning new skills, and finding the right balance between client demands and personal well-being. In autumn 2024, hybrid work continues to shape the accounting sector, particularly within the big four firms. Recent developments highlight the balance between flexibility and oversight, as seen in PwC’s implementation of employee location tracking, which may raise concerns about privacy while aiming to enhance performance management. Meanwhile, Deloitte's expansion of office spaces signals a commitment to maintaining physical work environments, reflecting a hybrid model that values both in-office collaboration and remote work flexibility. These shifts underscore the sector's ongoing evaluation and evolution, as firms strive to adapt to changing workforce expectations while ensuring productivity and compliance with regulatory demands. This research by Stefan Jooss of The University of Queensland and Michelle Carr of University College Cork, has been kindly supported by funding from the Institute of Chartered Accountants Ireland Educational Trust. The authors’ gratitude also goes to the Ireland’s big four firms in Ireland for facilitating the research activities

The OECD has published an online Manual on Effective Mutual Agreement Procedures (MEMAP) as part of a broader project to improve the functioning of existing international tax dispute procedures and to develop supplementary dispute resolution mechanisms. MEMAP is intended as a guide to increase awareness of the Mutual Agreement Procedure (MAP) process and how it should function. It will provide tax administrations and taxpayers with basic information on the operation of MAP and identify best practices for MAP without imposing a set of binding rules upon member countries.

Revenue has updated the Tax and Duty Manual which provides guidance on the submission of iXBRL financial statements as part of corporation tax returns. The manual has been updated to confirm that companies liable to corporation tax whose affairs are managed in either the Large Corporates Division (LCD) or the High Wealth and Financial Services Division (HWFSD) are obliged to file their financial statements in iXBRL format (Paragraph 2.1).  Following the creation of the HWFSD, changes to the most recent Form CT1 where explicit references were made to the LCD have been removed (Paragraph 3).  Guidance on what should be included in the mandatory ‘DPLTurnoverRevenue’ and ‘DPLGrossProfitLoss’ tags following the introduction of a new section of the EU IFRS taxonomy for insurance/reinsurance and life assurance entities reporting under IFRS 17 (Insurance Contracts)( Paragraph 3.1.3) is included.  Further updates include:  updated examples to reflect more recent accounting standards and related taxonomies (Paragraph 1.6.1),  Small Company turnover and balance sheet thresholds under the Companies Act 2014 (Paragraph 3.1.1), and  New guidance on the inappropriate use of taxonomies (Paragraph 4.1.2).  For further information see eBrief No.255/24.