IAASA has published a Consultation paper on its proposal to revise International Standard on Auditing (ISA) (Ireland) 505 External Confirmations and make related conforming amendments to ISA (Ireland) 600 (Revised February 2023) Special Considerations – Audits of Group Financial Statements (Including the Work of Component Auditors). The proposed effective date of the revised standard is for audits of financial statements for periods beginning on or after 15 December 2024, with early adoption permitted. Responses are requested by 23 February 2024.

The International Auditing and Assurance Standards Board (IAASB) launched a consultation on proposed narrow scope amendments to achieve greater convergence with the International Ethics Standards Board for Accountants’ (IESBA) International Code of Ethics for Professional Accountants (Including Independence Standards). The proposals have two key objectives. align definitions and requirements in IAASB standards with new definitions in the IESBA Code. extend the applicability of existing requirements for listed entities to meet heightened stakeholder expectations regarding audits of public interest entities. Key proposed revisions include extending the scope of the entities included under the International Standards on Quality Management and the International Standards on Auditing which will impact on: Engagement quality reviews; The auditor’s report including independence, communicating key audit matters, and the engagement partner’s name; and Communicating with those charged with governance. Feedback is requested by April 8, 2024.

In every issue of The Bottom Line, we ask students for their thoughts on a particular topic. This month, we want to know: What are your New Year's resolutions? Sarah McAleese KPMG I am firmly of the belief that it is more realistic to stick to the habit of taking up and incorporating positive habits into your schedule as opposed to giving things up.  This year, my New Year’s resolution is to prioritise setting myself up for a successful day by embracing slower mornings.  On the days that I am working from home and do not have to commute, I have started and plan to continue making a habit of getting up earlier to get out for a walk before work in order to clear my head.  I also intend to listen to the news headlines while getting ready each morning in order to stay on top of current affairs.  Coffee is a crucial part of my morning routine, and given the cost-of-living crisis in 2024, I am now a self-proclaimed barista and have vowed to make more coffee at home. Kaillum Burns  Gilroy Gannon New Year's resolutions are always something I try to include in my transitions from one year to another. Setting resolutions can offer a rejuvenating beginning. They are an excellent way to initiate the upcoming year, a chance to press the 'restart' button, and enable you to establish fresh goals or revisit existing ones and decide on your approach to accomplishing them.  Achieving resolutions always brings positivity into my life.  It is a great thing when you commit to a goal and follow through. Resolutions ignite a similar feeling.  Regardless of the obstacles, proving to yourself that you can overcome anything is an unparalleled source of satisfaction.  In essence, humans thrive when pursuing goals, and what better method to recalibrate your objectives than through a set of New Year's resolutions? Conor Flynn EY As the calendar turns, a wave of contemplation can sweep over us, prompting New Year's resolutions.  These annual pledges are more than just a cultural tradition; they can serve as a compass, guiding us towards personal growth and positive change. By setting specific goals, resolutions can help us articulate our aspirations. They can turn abstract desires into actionable plans that guide our actions and decisions, thereby instilling a sense of purpose for the coming year. Personally, I have found that a New Year can provide a renewed sense of empowerment. That being said, we should remind ourselves that the New Year does not hold a monopoly on resolutions as we can engage in self-reflection at any point throughout the year.  It is an exercise we should strive to do regularly for our own well-being and personal development.

Navigating the notorious "Where do you see your career in five years?" question in an interview demands strategic thinking. Denis Galvin, Partner at Barden, shares his top tips for crafting a compelling answer to turn this common interview hurdle into an opportunity to showcase your strategic vision and ambition for career success Beyond the answer to your biggest personal weakness, failing to give a good answer to the common interview question, “Where do you see your career in five years?” is the next surefire way to ruin a great interview.  We all know it’s a common question during interviews, so why aren’t we better at answering it? When you’ve interviewed as many people as I have, the answer to this question can come out as bland, vague and usually accompanied by a few ‘ahhs’, ‘umms’ and false starts, giving the impression you have not given a great deal of thought to your ambitions but, instead, came up with an answer you think I would want to hear.  However, as a recruiter, it leads me to wonder: if this is how you go about planning your career, is this how you would go about running a department? Here are three ways you can prepare yourself to answer this age-old interview question and get it right. 1. Tailor it to the role you’re interviewing for: imagine a ‘future you’ The fact is, not many of us have clear career plans. We might have an idea of an end goal, but rigorous, self-directed career planning, although advised, is rarely done. Most of us rely on the organisation we work for to define this for us.  If you don’t have a clear ambition, all you need to do is imagine a ‘future you’ within the context of the role you are interviewing for.  What has been said about career progression within this new organisation or the people you’d be reporting to? Is there a typical career path already defined you could use to shape your answer? If it’s a flat organisation with not much room for upward progression, what potential lateral moves could you make? Is there a particular area you don’t have experience in and would like to develop skills in? Possible answer: “You’ve told me quite a lot about your career pathways. What is important for me is that I can build a toolkit of skills to enhance my overall performance as a finance manager. Therefore, in five years, I like to think that I would have proven my value and received the opportunity to move into a leadership role in commercial finance, an area in which I currently have limited exposure.” 2. Take control: set your own milestones that speak to the needs of the business Think about the role you’re interviewing for. Does it entail a two-, three- or five-year plan? Will long-term planning be a part of the role? If it is, then in five years, you will have delivered the objectives contained in the business plan of the organisation for which you are interviewing.  If they are talking about long-term change or business transformation, how does the role in question feed into these larger programmes, and how can you use this information to visualise the ‘future you’? Possible answer: “This role clearly has an important mandate, which is to support the delivery and adoption of the three transformation initiatives you have spoken about, which you anticipate will take four to five years. I would like to think that, nearing the end of this period, with regular communication with my superiors, I would be able to define my next career move, depending on the strategic priorities or needs of the business.” 3. Above all, be clear, concise and confident Clarity and precision of thought are essential when answering any interview question.  Someone who shows a lack of ambition at an interview is unlikely to be successful. Even if you are ambitious, but you fluff this up, you will appear as though you have not given your career enough thought, which may raise serious (if unjustified) questions over your capacity as a leader.  However you decide to approach this question, ensure you give it some serious preparation.  If it’s a question that makes you feel uncomfortable, practise until it feels natural.  Whether you record yourself, get your partner or friend to ask you the question, or write it out and learn it, become comfortable with your answer and how you want to say it.

Edel Walsh explores transformative strategies to break free from the grip of constant scrolling  When I feel even the slightest bit bored, I pull out my smartphone. I scroll when queuing for my coffee, taking a break from work or when I should be working. When I wake up, I check in with my smartphone rather than checking in with myself. It is also the last thing I do at night.  After realising what I had been doing with my time, I knew I had to change this habit as I was losing hours to doom scrolling.  When I was taking my Chartered Accountancy exams, I had a mobile phone; however, at the time, mobile phones were only used for phone calls and texting. The phone was not the distraction it is today.  Dopamine hit When a person is scrolling on their phone, dopamine gets released from the brain into the bloodstream. As part of the internal reward system, it makes a person feel happy.  We all want to feel good and are guilty of continuous scrolling. Eventually, 45 minutes pass, and you decide to start studying. Your brain is going from a dopamine trigger to being forced to look at books. It is fair to say your brain will find it challenging to engage in productive study. A 2021 study by Oluwafemi J Sunday, Olusola O Adesope and Patricia L Maarhuis, The Effect of Smartphone Addiction on Learning, shows that smartphones negatively impact students' learning and overall academic performance.  The researchers also found that using mobile phones negatively impacts the skills and cognitive abilities needed for students’ academic success and learning. Here are a few simple tips to make your smartphone less appealing while studying. Remove the phone from your study environment The easiest way to avoid being distracted by your phone as you study is to remove it from the area where you are studying.  Research in 2017 by Dr Adrian Ward et al showed that students who kept their phone on the desk while studying performed the worst on their test. Students who kept their phone in their bag or jacket but still in the study environment performed on par with those who kept their phone on their desk while studying. The highest performers were the students who left their phone in a separate room. Make your phone boring When I reflected on my mobile phone behaviours, one of the first steps I took was to make my phone more boring. I deleted all the social media, news, and other apps that were distracting. When I need to check those services, I use the desktop version.  To start, delete at least one app that distracts you. See how this makes you feel and observe your phone behaviour. After a few days, see how you feel about deleting a few more.  Take a break from it all The purpose of study breaks is to rest your brain so you will feel rejuvenated when you return to the books – for many of us, reaching for our smartphone when on a break is an automatic habit.  To give your brain the rest it genuinely deserves, how about you: sit in silence with a cup of coffee; take a walk around the block; get some fresh air in nature; do a guided meditation or a short yoga pose; or read a magazine or a chapter of a book. In the quest for productivity and focused study, breaking free from the allure of constant smartphone use is of utmost importance. As we navigate the digital age, these strategies can offer a roadmap to balance, ensuring that our smartphones become tools for productivity rather than barriers to success. Edel Walsh is a student and exam coach. She supports her clients with their studies and exams by focusing on academic success and personal development and looking after their well-being. For more information, check out www.edelwalsh.ie

For Sinead Fox-Hamilton, Relationship & Professional Development Manager at Chartered Accountants Ireland, people are her passion, and she credits that passion to her Chartered Accountancy qualification Ten years ago, where did you think you would be now? Have you lived up to your own expectations? A decade ago, I was in a banking role and had already gained experience in practice and industry as a Chartered Accountant. I enjoyed the variety of work exposure but was still figuring out my journey.  The most fulfilling part of my roles was always working with people, so I went on to work in recruitment, which was centred on relationships and brought me closer to the world of career advancement, training, and lifelong learning. One thing that was always constant through my student training and career was being involved in the Chartered Accountants Ulster Society (various roles across several of the sub-committees) – I loved the people, supporting career development, organising events and taking an active role in the profession’s community. I often joked that I wished my time volunteering was my day job.  Fast forward to 2018, and a role became available at Chartered Accountants Ireland that literally ticked so many of the boxes – it was fate, and the rest, as they say, is history.  I am thrilled to now be working for my Institute showcasing the profession, curating learning solutions and engaging with the wonderful community we have! What has been the biggest challenge of your career? I found getting through the ACA exams to be extremely challenging. I completed a law degree, so I didn’t have a finance background. I am more of a literary person and storyteller naturally, so it was hard to engage my brain to think differently, but I was able to find crossovers and transferable skills.  While the study didn’t come easy to me, I knew it would be worth it, so I stuck at it. I’ll admit I had a few failures along the way and had to face some repeat papers, but I was determined to qualify. Thankfully, I got there in the end!  I will never forget my FAE results day – it was amazing. Qualifying is absolutely one of my proudest achievements! What do you wish you had known earlier in life? I wish I had known that you don’t have to have it all figured out immediately. Life and careers are journeys, and there are great opportunities to learn and grow along the way!  Framing any setbacks as lessons can really help with the fear of failure. Also, being realistic about what is achievable is important – I think we can often set our standards very high. Does perfection really exist?! Being the best version of yourself is enough.  In my younger years, I also naively would have thought ‘success’ was defined by job title, status or salary. I have grown to learn that purpose and job satisfaction are much more valuable to me.  I am energised and motivated by doing things I enjoy and that I feel add value – fulfilment and happiness come with this, and that is success for me now. Where do you see yourself this time next year? I would like to still be working for Chartered Accountants Ireland supporting the wonderful community and of course continuing to showcase the profession to the next gen. I feel really passionate about debunking the myths that exist, like it’s boring or it’s just number crunching and maths based or it’s not very accessible! All completely untrue – so I want to continue on my crusade to demystify the career and show the reality of Chartered Accountancy careers! Who inspires you, personally and professionally? Personally, I would say my dad. He has a real ‘can do’ attitude and drilled into me that there is no such thing as can’t – this positive problem-solving approach has taught me a lot. His confidence, drive and work ethic are something I’ve also always admired. Professionally, I’ve had the pleasure of working with many great leaders who inspire me, so it’s genuinely hard to narrow it down. The benefit of working in the profession is the opportunity to be exposed to some of the most talented business minds from whom I have had the privilege of learning so much. How has being a Chartered Accountant changed your life? Qualifying as a Chartered Accountant was a game-changer for me in so many ways.  I entered a career where there was an abundance of varied opportunities, which suited someone like me as I wasn’t quite sure what I wanted to be when I grew up (such a hard question to answer as a young person, I feel).  I was attracted to the idea of working in business, but I didn’t know what exact path to take. Being a Chartered Accountant opens so many doors, and you can work in any sector in both traditional finance and non-traditional roles.  I’ve enjoyed this luxury first-hand.  But the biggest win has been the relationships I’ve built. There is a real family feel to the profession and I have made lifelong friends, and I even met a husband along the way.  A lot of my socialising is done with fellow Chartered Accountants, and it’s lovely to have the opportunity to create such meaningful connections with like-minded people. It truly is such a special community to be part of! If you weren't a Chartered Accountant, what do you think you'd be doing?  I feel like I’ve found my fit in the role I do – it combines commercial and marketing aspects, but the beauty of being a Chartered Accountant is you can work right across the business.  I love the flexibility of the career. The skills you develop are transferable right across the market, and employers want to hire Chartered Accountants, so they are always in demand, which is brilliant for job security, stability, and reward.  Thinking completely aspirational and outside of the box, my younger self aspired to be an actress (but the pragmatic side of me didn’t think that was a realistic option) – I do scratch that itch by enjoying some amateur drama activity in my spare time, though. What advice do you have for those who will soon qualify as Chartered Accountants?  It’s such an exciting time – once you qualify, you truly grasp the full potential the profession can offer, whether it be in terms of career variety and reward or the fact you can travel the world because it is an internationally recognised business leadership credential.  Be curious and enjoy exploring the career variety. A top tip would also be to build a good network – it is invaluable to the opportunities that can come your way via connections. An easy way to do this is by getting involved in your local District Societies and attending events – I have benefited from amazing experiences and opportunities by being an active participant in the Ulster Society.  There are also so many services and supports available from the Institute – I would encourage newly qualified Chartered Accountants to engage with these and enjoy the full benefits of being a member.

Despite its modest appearance and less-than-enticing title, the Competency Statement is arguably the most helpful yet underrated resource students have at their disposal. It should be the platform for your study plan, central to your note-taking for open-book exams and core to exam preparation, explains Bryan Rankin, Head of Student Operations at Chartered Accountants Ireland   When taken with other documents like the Examiner’s Report, the Competency Statement (Statement) is like the examiner’s open letter to the student. It contains a range of information about the broader skills of the Chartered Accountant. However, it can also give you an edge in exam preparation.  What does ‘competency’ mean? One of the first items highlighted in the document is what competency means. For our purposes, ‘competency’ is the ability to apply knowledge, understanding, and skills to perform to the standards required in employment. For students working through their education programme, the Statement outlines the knowledge and skills examinable for each programme, be it CAP1, CAP2 or FAE. Importantly, the Competency Statement is created by the examinations team, so this is the examiner's list of all the topics that can come up on the exam paper.   It’s no wonder that students are expected to read their Competency Statement carefully.  The anatomy of the Competency Statement The Competency Statement also indicates the level at which the examiner expects you to be familiar. Headline topic areas are further broken down into individual learning outcomes. Each learning item has either ‘understand’, ‘apply’ or ‘integrate’ highlighted beside it, indicating the level of challenge the examiner can be expected to apply.   Students will do well to note the instruction associated with each learning outcome. For example, verbs like ‘explain’ point to a requirement to be able to write succinctly and clearly about the topic with support from relevant facts. These instructions can be expected to appear on exam papers, so it’s prudent to get used to the various terms used.  A further benefit of the Statement is that the examiner provides the weighting of marks for each headline topic area. For the student, this means you have some direction on the amount of time to devote to each topic area, allowing more efficient study time.  The Competency Statement is accompanied by a summary of changes it has undergone for the present academic year. Both documents are available online at the Learning Hub at the top of each subject. Cumulative Principle The Competency Statement for each subject contains an important point that all students would do well to note: Chartered Accountants Ireland exams are given under the Cumulative Principle.  This principle states that our education programme is based on cumulative knowledge, meaning there are key elements of CAP1 examined at a more advanced level at CAP2.  For example, the examiner assumes that the exam candidates at CAP2 and FAE have a good knowledge of the material covered at CAP1. Students who were exempt from CAP1, or students who progress from CAP1 into CAP2 and FAE, will be expected to be fully knowledgeable about the material covered on the CAP1 syllabus. Each candidate is responsible for ensuring this, as CAP1 material may not be reviewed during the CAP2 courses.  Using the Competency Statement Hopefully it is already apparent to the student that the Statement has many valuable and practical applications. There are many ways it can be used to your advantage. For example, in the video ‘Study Notes Management’, available for CAP2 students in the Learning Hub, Professor Mike Farrell demonstrates how students can use the list of learning outcomes as a checklist, which can then be used to identify frequently mentioned topics. You can also assess your progress, highlighting areas of difficulty where you have answered a question incorrectly.  Some students like to use ‘traffic light’ indicators beside learning outcomes, where green indicates that they are comfortable with it, while amber and red show more challenging topics.  Reaping the rewards The Competency Statement should be an essential reference document to support your studies. The student who makes full use of the Statements will reap rewards by being more efficient in their study time and being better prepared going into exams. 

Having enthusiasm for learning and a proactive approach to studying can shape a brighter future, says Caelainn McGonigle, CASSI PR Officer and a trainee with Gilroy Gannon A s we ring in the New Year, many of us welcome 2024 as a new chapter filled with fresh opportunities, promises and resolutions.  For us students, the New Year is an opportunity to redirect and reset our academic journey and habits with renewed enthusiasm for lectures and exams. Transitioning from the Christmas break back to our regular routine of lectures and study can seem intimidating or daunting, but with strategic planning, a positive mindset and a couple of other tips and tricks, we can kick off the New Year embracing the challenges ahead. Take a moment to reflect on the positives and negatives, both academic and personal, of the past year. Recognise accomplishments, reflect on challenges, and pinpoint areas for improvement. This reflection sets the way for clear and concise goals and aspirations for the New Year, which will make way for renewed academic enthusiasm.  Goal setting Setting realistic and achievable goals is vital. Whether they focus on important academic milestones, day-to-day time management or regular study habits, they must be direct and reachable. Setting an abundance of unrealistic resolutions can be overwhelming and distract from meaningful progress. Mindset A positive mindset with a can-do attitude may be the most powerful tool for ensuring the New Year embraces the changes we have identified as being necessary for our goals.  Recognise 2024 as a clean slate, whether this means a new attitude towards lectures or hardiness towards exams.  Turn the setbacks into opportunities to better yourself, learn from the experience and grow in a positive manner for the next obstacle.  Get organised Organisation is a fundamental key to academic success. Reorganising and decluttering both physical and digital spaces is a great way to start the New Year.  Take the time to identify what your environment requires to allow focus and concentration to peak.  Scheduling a balanced, realistic academic plan, including lectures and study at this time of year, can reduce the overwhelming feeling of suborganisation closer to exam season. Try planning apps or physical calendars to find which works best for you. Go to your lectures Active participation in lectures over the coming months will reap benefits at exam time.  Instead of passively attending lectures at the end of a working day or on a Saturday morning, ask questions during the live lecture, make use of the forums and reach out to other students.  Exam preparation is a marathon, not a sprint. Utilise the students around you over the coming weeks for their top tips regarding exam season. Consistent and intentional preparation builds confidence and minimises stress as exams approach. Balance When easing back into routine after the break, prioritise balance between work, study and personal well-being. Regular exercise, sufficient sleep, healthy eating and fun activities to destress will be key in keeping you feeling rejuvenated for the coming months. New Year, new you Kick off the New Year with renewed enthusiasm for lectures and exams by implementing a combination of reflection, goal setting, a positive mindset, organisation, active engagement, and consistent exam preparation. These strategies can harvest academic confidence, growth, learning and success.

  Sustainability (often described as environment, social, governance or ‘ESG’ by finance professionals) is a fast-developing area. Chartered Accountants Ireland’s Sustainability Officer Susan Rossney looks at key trends for 2024, and speaks to thought leaders on what to expect in the year ahead. Elections 2024 will be a year of elections. More than 60 countries representing half the world’s population - 4 billion people - will go to the polls. Voters are expected to turn out in Ireland, the US and, potentially, the UK and for elections to the European Parliament. In the words of former UK cabinet minister for Energy, Chris Skidmore: "the climate crisis that we face is too important to politicise or to ignore." That being said, the elections are predicted to involve much political debate around ESG and environmentally-focused investing. They are also taking place against a backdrop of ‘simmering geopolitical tensions’ – including mistrust in elections. This is according to the World Economic Forum’s 2024 global risk report, which puts extreme weather events, misinformation and disinformation, and societal polarization as the 3 risks most likely to present a material crisis on a global scale in 2024. Policies In early 2024, Ireland can expect a public consultation on its Climate Action Plan 2024, the fourth such plan since 2019. Circular economy measures will also come into effect. For example, under the Deposit Return Scheme starting February 2024, plastic bottles and aluminium /steel cans can be returned to retail outlets in exchange for a small deposit. Expect to see a public consultation in 2024 on the National (Climate) Adaptation Framework also, as Ireland records record-breaking weather extremes in 2023 (and see more on weather below). 2024 will also see the development of an Irish national centre for electric vehicle (EV) skills to train people to repair and maintain electric cars, bikes, scooters, trucks, buses, vans and heavy goods vehicles. (Global expectations for passenger EV sales predicts an increase of 21 percent in 2024 to 16.7 million EVs, with 70 percent of those being fully electric.) In the UK, a consultation is pending on the design of a UK Carbon Border Adjustment Mechanism (CBAM), a mechanism to be introduced in 2027. The EU already has a CBAM, which entered its transitional phase on 1 October 2023. A consultation is also open on a UK emissions trading scheme (ETS) markets policy. ‘Transition finance’ moving centre-stage Transition finance is expected to increase in prominence in 2024. The term broadly refers to financing private investments to help economies and societies transition from reliance on fossil fuels. Examples of transition finance activities include green and sustainability-linked bonds and loans, but grants also come under the definition. FCA and founder of Tactive, Gordon Naughton, is looking forward to seeing the EU start approving sizeable grant funding to large-scale sustainability projects that will have a meaningful impact on Ireland’s emissions, such as the recent EU approval of Germany’s €902 million grant to Northvolt for a battery factory. “This is a seminal moment for the EU and represents a sizeable shift in policy” Gordon says, further commenting: “previously, grant funding within the EU was mostly focused on R&D funding and steered away from capacity building due to WTO rules. Witnessing the success of the US Inflation Reduction Act, the EU is now embracing green capacity building grants which is good for competitiveness and the planet.” Preparing for the CSRD … With effect from financial year beginning on or after 1 January 2024, some of the largest companies in Ireland will begin reporting under the Corporate Sustainability Reporting Directive ('CSRD'), and as a result, the European Sustainability Reporting Standards (‘ESRS’). The CSRD must be transposed into national law by EU Member States, including Ireland, by July 2024. “The reporting of sustainability matters under the CSRD represents the dawn of a new era in corporate reporting for entities” says Mike O’Halloran, Technical Manager with Chartered Accountants Ireland, highlighting the important role that the CSRD will play in ensuring that the climate goals of the European Union are met. “The Directive is a key component in the EU’s goal of transforming itself into a modern, resource-efficient and competitive economy, with the aim of being climate neutral by 2050. In 2024 we expect to see companies becoming more familiar with the requirements of the Directive and of the European Sustainability Reporting Standards, and the goals of both to combat ‘greenwashing’ and false, misleading or unsubstantiated claims.” While finance teams in larger organisations are assessing what new measures and information will be required, SMEs will also experience a ‘trickle-down’ effect from the CSRD. SMEs in the supply chains of in-scope entities can expect more queries from their in-scope partners. These may include questions about the SME’s environmental, social and governance (ESG) profile and plans. Speaking from the UK, Chartered Accountants and Director of Blue Crane Consulting, Rosie Dunscome says that 2024 will be a critical year for accountants to get their heads around in-coming corporate sustainability reporting regulation: “The UK government is set to make its endorsement decision on IFRS S1 and S2 by July 2024, and voluntary frameworks that look likely to shape future regulation were also launched in the latter part of 2023 in the form of the Taskforce for Nature-related Financial Disclosures recommendations and the Transition Plan Taskforce Disclosure Framework. These should all appear on an accountant’s radar in 2024.”   …and the CSDDD Provisional agreement has also been reached on the Corporate Sustainability Due Diligence Directive (CSDDD). This aims to foster sustainable and responsible corporate behaviour throughout global value chains. It applies to EU and non-EU companies with a turnover over €150 million and smaller companies in certain sectors. Outside the EU, other countries are implementing national legislation with similar aims, from New Zealand’s proposed modern slavery reporting legislation and Mexico’s new forced labour import prohibition. Greater scrutiny on sustainability claims Following initiatives to address greenwashing by, among others, IOSCO, the Financial Conduct Authority (FCA) and the EU in 2023, the US Securities and Exchange Commission is expected to announce its long-awaited proposed corporate disclosure rules for enhanced climate disclosures during the first half of 2024. Overall, companies can expect greater scrutiny on all sustainability-related information they produce. Carbon markets in the news One item expected to be in news this year is the voluntary carbon markets (VCMs). Talks at the global climate summit COP28 in Dubai in December failed to agree on new rules which would allow the launch of a centralised system, run by the UN, allowing for countries and companies to begin offsetting their carbon emissions and trading those offsets. It is expected that negotiations will continue through 2024 and at COP29 in Baku, Azerbaijan. Litigation              Climate and environmental issues are likely to come before the courts once again in 2024. In Ireland a new division of the High Court has been established that is dedicated to Planning and Environmental cases. Globally, there are reportedly more than 2,300 pending or decided climate cases. These range from small island states taking a case to the UN maritime court to seek protection for the world’s oceans against climate change, to young people taking 32 countries to court over climate inaction. A growing number of countries are considering introducing laws to make ecocide a crime: a new standalone crime of ecocide is being proposed in the Scottish parliament in a consultation which will run until February 9 202, and a test case of France’s new ecocide law is currently in the courts.  Jobs and skills The rise in reporting and disclosure requirements is likely to have an impact on finance professionals looking to upskill themselves and their staff, and/or to hire new team members. The lack of skills and education was a recurring theme in 2023, with the National Skills Bulletin 2023 reporting that the skills mix of Ireland’s workforce will need to evolve as industries in Ireland address issues such as sustainable sourcing, circular lifecycles, energy efficiency, and waste minimization. ‘Climate Action and Sustainable Development’ is one of the new subjects being considered as part of an open consultation on draft specifications for six Leaving Certificate Subjects to be introduced in schools in 2025. "With new sustainability regulations, as well as nature moving up the agenda for businesses and governments, accountants will need to learn the language of sustainability and how to apply this in their organisation’s context." says Sarah Reay, Climate Change Manager with ICAEW. "Capacity building across all organisation is likely to be a big focus in 2024". The International Federation of Accountants (IFAC) has also called on the accountancy profession to help build capacity and advance on education. Outside of accounting and finance, a growth in jobs in areas like renewable energy will require upskilling of workforces with 36.2 million people working in clean energy in 2023 (6 million more than 2019). Demand for more employees in this field is likely to rise, with global upskilling is required to meet it. Greater focus on assurance It is also possible that 2024 will see a growing demand for ‘real data’ like geospatial data and satellite imagery to prove companies are, e.g. sourcing cocoa from non-deforestation-prone regions. In Europe, with the introduction of the CSRD, there will be a mandatory requirement for the assurance of sustainability reporting.  “Initially there will be ‘limited assurance’ required, although ‘reasonable assurance’ is expected to be introduced at some stage in the future”, explains Dee Moran, Professional Accountancy Lead with Chartered Accountants Ireland. ‘In-scope companies will need to undertake an assessment of their readiness for assurance and have the appropriate processes and controls in place to ensure they are in a position to comply with the new regulatory obligations. We predict that this will be a  significant challenge for companies needing to comply in 2024 as they carry out these assessments, so companies should begin this sooner rather than later to ensure they are compliant.” More renewable energy 2024 is set to be a critical year in renewable energy in Ireland. Calls on the Government to remove bottlenecks and push through projects have been made to ensure the scale-up of offshore wind, which is needed for Ireland to achieve its climate goals. Marie Joyce, Chief Operations Officer & Chief Financial Officer of NTR plc thinks that 2024 will bring an ever-increasing focus and understanding of the benefits of clean energy (wind, solar, battery storage) for us all:  “The benefits of clean power are significant, not just in reducing national CO2 emissions, but also in reducing air pollution. These assets also present a great opportunity to deliver a positive impact on Nature.” One of those benefits is cost. The costs of global renewable power generation continued to decrease through 2022, despite rising materials and equipment costs. According to the International Renewable Energy Agency (IRENA), in 2022 solar PV cost 29 percent less than the cheapest fossil fuel-fired solution. Nature, biodiversity and business According to the World Resource Institute over half of global GDP – $44 trillion – relies on nature, but only 17 percent of total investment in nature comes from the private sector. We can expect to hear more from World Resources Institute (WRI) in 2024, as it researches how business can finance investment in Nature-based Solutions (NBS). Beginning in 2024, the Taskforce on Nature-related Financial Disclosures (TNFD) will track voluntary market adoption of its recommendations through an annual status update report. Adapting to record-breaking climate events All indicators point to the relentless rise in global temperatures to continue in 2024 with experts forecasting “Every year for the rest of your life will end up being one of the hottest in the record.” The changing climate will also continue to bring record-breaking droughts, wildfires, floods and heavy rain. In addition to the human cost of these events, the European Environmental Agency (EEA) predicts that weather- and climate-related extremes will see economic losses of assets increase as severe weather- and climate-related extreme events intensify further. (These events caused €52.3 billion of economic losses of assets in 2022.) Historically low levels of water in the Panama Canal, the Mississippi and the Rhine had ramifications for the movement of goods in 2023, and similar impacts are expected in 2024. At the other extreme, flooding in Ireland caused enough damage for the Government to introduce an Emergency Business Flooding Schemes for small businesses. It is likely that insurance prices in Europe will also rise, according to the chief executive of Lloyd’s of London, as extreme weather changes the way insurers thought about climate risks. The need for more resilience in supply chains is coming to the fore as companies grapple with understanding how different scenarios will affect their business. Overall, a busy year ahead.   Keep up to date with on sustainability with information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre at Chartered Accountants Ireland

Economic Crime and Corporate Transparency Act 2023 Just published see our short guide on the UK’s Economic Crime and Corporate Transparency Act 2023.The guide details some of the changes which will be brought about by the Act. 

The CCAB-I Insolvency Committee has recently published Technical Release 01/2024 - Personal Insolvency (Amendment) Act 2021. This Technical Release outlines how the provisions of the Personal Insolvency (Amendment) Act, 2021 reflect practical amendments arising from Covid-19 and also the evolving nature of the existing legislation governing personal insolvency. The previous technical guidance document TA/02 2016 Personal Insolvency (Amendment) Act 2015 is still of relevance and guidance to members save for any amendments set out herein.

Newly Qualified – What Next? Now that you are qualifying as a member of the Institute there are a number of things to consider for the next phase of your professional career build. Below is a concise synopsis that may prove useful as you focus on this long term project : The Market - Practice, Industry and FS sectors are all seeking new and recent qualified team additions.  International opportunities remain good if you are keen to travel! The economic outlook is good notwithstanding inflation, Brexit, Ukraine.  Salaries – Salary and package levels have been strong in recent months. Salary range for newly qualifieds €55–60k and in some cases €60-65k . Benefits packages are where the spotlight is really.Salary should not be top of your list however when deciding your next career step. Early Career-build considerations : Treat it like a long term project  - Make time to plan.Set up a file / spreadsheet for yourself.  Research the multitude of paths you can take now.Speak to your mentors – (3 of them preferably!) Be deliberate about focusing on this career build project. Secondments can be a great way to overcome the gap in industry experience.Be prepared to adjust & shift direction and most importantly start building your Network! Some key career tips - build your personal brand and guard it carefully for the years ahead. Link-In with ACA’s 2 or 3 years ahead of you in their career path. Year 1 post-qualification gives you a licence to try & test random roles and you should feel free to experiment. Think 2 moves ahead when you accept an offer and consider the impact on your cv and a few moves down the road. Be vigilant of The (ACA) Career Pathway which is worth reviewing -  https://www.charteredaccountants.ie/Career-Pathway Consider Contract options in the market and tune in to the growing ‘Gig economy’.  Review Accountancy Ireland Back Issues you have not read in your spare time.   Invest in your Network  - Networking is the Spine of a successful Career ! It will eventually become the platform for your move as an FCA later in life but start now.  Reconnect with Ex Colleagues. Make it a habit to touch base with key people and pick their brains. Social Media – Like Share Discuss and connect constantly. Be vigilant of the people who attended the same events as you. Join LinkedIn Groups and get more involved with the Institute now you have less studies. Do a Career Audit - Draw a (self analysis) mind map. Analyse decisions you have made to date. What worked for you and what didn’t? Why?  What soft skills have you developed in recent years? What have your key achievements been?  And importantly, what did you enjoy and why?  Action Plan – You have an opportunity to take stock & plan now. Take time to gain that insight into what you really want for your career. Craft a strong CV and personal brand and be interview ready when the opportunity knocks. Become an expert on the market if you are actively looking to move now and check in with your Careers Team. . Career Coaching, Advice and Placement – Chartered Accountants Ireland Dave Riordan (FCA) Career Coach & Recruiter Chartered Accountants Ireland Careers Team +353 1 673 7251 Dave.riordan@charteredaccountants.ie