Rules and ethics
Part of Accounting services rules and ethics: a practical framework
Accounting services regulations in England: audit bodies, AML supervisors, HMRC agent form and data roles
Name the body behind each accounting duty in England: audit supervisors, Money Laundering Regulations 2017 supervisors, OPBAS, HMRC form 64-8 and UK GDPR roles.
There is no single licence covering every accountant or bookkeeper in England. Each duty attaches to a service, and each service has its own named supervisor, law and register. A practice needs an activity map that names all three for every service it sells.
What to take away
- Statutory audit is reserved to individuals and firms registered with a recognised supervisory body.
- Four bodies register company auditorsACCA, ICAEW, ICAS and Chartered Accountants Ireland.
- Accountancy work can fall under the Money Laundering Regulations 2017, supervised by a professional body or by HMRC.
- Acting for a client with HMRC needs authorisation, which is separate from AML supervision.
- Client files raise UK GDPR controller and processor questions for every processing activity.
Statutory audit is reserved to registered auditors
Section 1212 of the Companies Act 2006 makes an individual or firm eligible as a statutory auditor only if it is a member of a recognised supervisory body. It must also be eligible under that body's rules. Section 1239 requires a register of eligible persons.
Four accountancy bodies register company auditors: ACCA, ICAEW, ICAS and Chartered Accountants Ireland. AIA, CIPFA and CIMA do not register them. The audit firm needs its own registration as well, and auditing without registration is illegal. A general accounting qualification therefore does not entitle anyone to sign an audit report.
Accountancy services can need AML supervision
Regulation 7 of the Money Laundering Regulations 2017 makes each professional body listed in Schedule 1 the supervisory authority for its members. The Schedule 1 professional body list names AAT, ACCA, AIA, ATT, CIMA, CIOT, ICAEW, ICAS, the Institute of Certified Bookkeepers and Chartered Accountants Ireland.
HMRC supervises accountancy service providers that no professional body supervises. The category covers professional bookkeeping, accounts preparation and signing, customer-specific tax advice and help with tax returns. Virtual or automated delivery does not remove the duty to perform customer due diligence.
The Office for Professional Body Anti-Money Laundering Supervision (OPBAS) oversees the 25 professional body supervisors in the legal and accountancy sectors. Choose one supervision route before trading and record why a professional body or HMRC applies. Reconsider the choice when services or customers change.
Acting for clients with HMRC is a separate step
Form 64-8 is now the only paper form needed to authorise an agent to deal with HMRC. Keep it separate from AML supervision, because the two answer different questions. One covers authority over a client's tax affairs, the other covers a firm's own money laundering controls.
Authority is granted per client and per tax. The HMRC agent status of an adviser should therefore be matched to the engagement, tax by tax, and reviewed at least once a year.
Personal data brings controller and processor roles
Accounting files hold identifiers, income, bank transactions and payroll details, so data protection duties start at the first engagement. The UK GDPR separates controllers, which determine the purposes and means of processing, from processors, which act on their behalf.
A firm can hold different roles for different processing. Test each activity with the ICO controllers and processors guidance, which defines both terms. Record the analysis instead of writing "processor" into every contract by habit.
Marketing claims need evidence on file
Every objective claim in an advert needs evidence that exists before publication. Professional-body, audit, software-partner and market-leading claims are the usual weak points. A customer review does not substantiate a factual promise about tax savings or filing accuracy.
Run each advert through the checks in accounting services advertising rules before it goes live. Paid rankings and referral relationships should also be apparent to the reader.
Build an obligation register
For each service, record the requirement, source, scope, legal entity, responsible person, control, evidence and review date. The market entry checklist for UK practices is a sound starting point. Add insurance, contract and sector duties where they apply.
| Activity | Name to record | Evidence to keep |
|---|---|---|
| Statutory audit | Companies Act 2006 section 1212; ACCA, ICAEW, ICAS or Chartered Accountants Ireland | Individual and audit firm registration |
| Accountancy services | Money Laundering Regulations 2017; a Schedule 1 body or HMRC | Supervision record or exclusion note |
| Acting with HMRC | Form 64-8 | Authorisation per client and tax |
| Personal data | UK GDPR controller or processor role | Written role analysis |
| Marketing claims | Evidence for each objective claim | Substantiation file per advert |
Review the register when the service, personnel, customer type, technology or law changes. The wider rules and ethics framework maps audit, AML, tax-agent, data, contract and advertising duties in one place. Take advice on the actual facts before launch or publication.
Before you act
- Map every service, entity, customer and information type you handle.
- Confirm the audit register entry before offering audit work.
- Record your AML supervisor, whether a Schedule 1 body or HMRC.
- Hold form 64-8 for each client and tax you handle.
- Write down your controller or processor role for each activity.
- Keep evidence for every objective marketing claim.
