London: The Association of Chartered Certified Accountants (ACCA) has welcomed the King’s Speech for its emphasis on economic growth and stability, yet voiced concerns over the breadth of legislative changes proposed and their impact on small businesses. The speech, which touched on numerous topics crucial to finance and accountancy professionals, highlighted key areas of reform in audit practices, HMRC operations, and artificial intelligence legislation.

According to Association of Chartered Certified Accountants, Mike Suffield, Director of ACCA Policy and Insights, expressed approval of the government’s commitment to audit reform, which he described as long overdue. The establishment of the Audit, Reporting and Governance Authority (ARGA) aims to enhance the accountability of auditors and firms, a move spurred by significant corporate failures in recent years. However, the ACCA pointed out the lack of measures to improve HMRC services in the speech, noting the critical need for investment and reform to enhance the efficiency and reliability of tax services.

Further commentary from the ACCA included insights on AI regulation and the implications for ethical and legal standards in business practices. Alistair Brisbourne, Head of Technology Research at ACCA, advocated for a principles-based approach to AI legislation to balance innovation with consumer protection. Additionally, the ACCA praised the government’s decision to strengthen the powers of the Office of Budget Responsibility, emphasizing the importance of transparency and stability in economic forecasting.

The ACCA also addressed the need for skills development and training in the finance sector. Gemma Gathercole, Strategic Engagement Lead for England at ACCA, highlighted the government’s focus on enhancing vocational training and skills acquisition, including the review of the Apprenticeship Levy and the establishment of Skills England. These initiatives are seen as critical to closing the skills gap and supporting economic growth through a well-trained workforce.

The response to the King’s Speech by ACCA underscores the organization’s ongoing engagement with policymakers to ensure that legislative changes reflect the needs and challenges of the accountancy profession and the broader economic environment.