How will ICAEW monitor tougher CPD rules?
How will ICAEW monitor tougher CPD rules?
As the anniversary of the new ICAEW CPD framework approaches, the institute will soon start monitoring compliance by individual members and firms
The ICAEW’s revised CPD framework started on 1 November 2023.
All ICAEW members (other than retirees) are required to carry out a minimum number of CPD hours per year, including a minimum number of verifiable hours, with the amount varying depending on the role.
Members also need to complete one-hour mandatory training aligned to the ICAEW Code of Ethics each year.
Some firms may have a different CPD year to ICAEW’s 1 November to 31 October, which can be retained as ICAEW has not mandated any changes to CPD years.
The revised requirements kicked in from the start of the first CPD year for each firm after 1 November 2023.
Therefore, if firms have a differently timed CPD year they will not be expected to submit any evidence of compliance until the end of the relevant period, if they are asked to do so by the institute.
For example, firms who hold a calendar CPD year will only need to submit evidence from January 2025.
ICAEW’s quality assurance department (QAD) team will be using a mix of monitoring methods designed to assess how firms and individuals meet their responsibilities, but we understand that, at least for this first period under the new requirements, there are unlikely to be strong penalties with the emphasis instead on support and guidance.
The QAD team will select a sample of members and ask them to submit their CPD records.
If the member is found to be non-compliant, ICAEW will ask for a commitment from that person to remediate the CPD records – in other words, carry out the necessary additional amount of CPD, and ICAEW will follow this up.
The individual will also be required to notify their firm that they have been subject to monitoring and that an issue was found.
Secondly, firms will be monitored. Visits will be made to understand the firm’s CPD system – including the learning and development environment, and a sample of some of the firm’s employee records.
If issues are identified ICAEW will ask for information from the firm on how it will resolve the issue. Inspectors will follow up the following year to make sure the problem has been resolved.
If significant or repeat issues are identified these will be reported to the practice assurance committee and ultimately to the conduct department at ICAEW – but this will only be for serious instances of non-compliance.
The monitoring process will also anonymously collect data for examples of good practice.
Of course, CPD is not just about ensuring compliance as embracing a culture of learning and development can offer an array of benefits for firms.
This article is sourced from the following link:
https://www.accountancydaily.co/how-will-icaew-monitor-tougher-cpd-rules
