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FRC issues guidance on auditor liability limitation agreements

The Financial Reporting Council (FRC) has published guidance on the use of agreements between companies and their auditors to limit the auditor’s liability, as provided for under the Companies Act 2006

FRC publishes updated Combined Code on Corporate Governance

The Financial Reporting Council’s Combined Code on Corporate Governance sets out standards of good practice in relation to issues such as board composition and development, remuneration, accountability and audit and relations with shareholders

Credit crunch takes hold, more pain to come, finds CBI/PwC survey

The impact of the credit crunch on the UK financial services industry has worsened over the past quarter, as profitability fell at a record pace and business volumes fell at the fastest rate in 17 years, a new survey said today

US companies shun bar code reporting

Public US companies are not preparing for new financial reporting technology that could soon become mandatory under US regulatory proposals, according to new research

PwC aims to evolve to maintain lead

PricewaterhouseCoopers must become more agile if it wants to maintain and improve on its market-leading position, according to its new head, Ian Powell

Martin Aitken & Co go for growth with latest merger

Accountants and business advisors AS Fisher & Co have merged into Martin Aitken & Co (MACO) to create Glasgow’s largest mid-tier accountancy firm

Employers warn on equality red tape

Small employers face a “bureaucratic nightmare” from plans to tackle inequality set out by the government, business warned

Pension study criticises disclosure practice

If employers were allowed to fill deficits in their pension schemes over 20 years instead of 10, it would cut the annual contribution rate needed by 94 per cent, according to a study of pension risks by the Association of British Insurers

PricewaterhouseCoopers appointed global adviser and report writer to Carbon Disclosure Project

The Carbon Disclosure Project (CDP), a collaboration of 385 institutional investors with assets under management of US$57 trillion, has announced the appointment of PricewaterhouseCoopers as its global adviser

ASB seeks views on proposed improvements to Financial Reporting Standards

The Accounting Standards Board (ASB) has issued a Financial Reporting Exposure Draft (FRED) of Improvements to Financial Reporting Standards

Qataris take up to 10 per cent of Barclays

Qatari investors are poised to own up to 10 per cent of Barclays after the bank called on groups from the Middle East and Asia to support its long-awaited £4.5 billion share issue

Scots economic growth 'slowing'

The Scottish economy continued to grow in the quarter to the end of May, according to Lloyds TSB's latest Business Monitor report, but at a reduced rate

KPMG to pay £1.65m penalties

KPMG is to pay penalties of £1.65m for its role as auditor to Independent Insurance, the flamboyant insurer that collapsed in 2001 following an accounting fraud that saw its chief executive and financial director jailed

UK buy-out market dips to four year low

Mid-market private equity finally bows to credit crunch, according to a new report by Deloitte and Barclays Private Equity's Centre for Management Buy-out Research

New boss for HMRC after data slip

HM Revenue & Customs (HMRC) has named private equity executive Mike Clasper as its new chairman. He replaces Paul Gray, who quit after an embarrassing scandal that saw the HMRC lose the personal details of 25 million child benefit claimants.

Stern launches carbon credit ratings agency

Lord Nicholas Stern, author of the UK’s Stern report on climate change, will launch a new carbon credit ratings agency on Wednesday, the first to score carbon credits on a similar basis to that used to rate debt

Dollar millionaire club 'expands'

The number of people worth more than US$1m (£507,000) rose to 10.1 million in 2007, a wealth survey suggests

New deputy chair appointed to the Financial Reporting Review Panel

David Lindsell, a member of the FRRP since March 2007 and formerly a partner at Ernst & Young, specialising in audit and assurance services, has been appointed a deputy chair

Alarm over Revenue’s increased powers

Sweeping new powers for tax inspectors could be used in a draconian way against businesses, according to MPs who have called for a much wider debate about the finance bill’s impact on human rights

Bets on HBOS rise in spite of short-sell rule

Hedge funds sharply increased their bets against HBOS in the first days after the City watchdog announced new emergency transparency rules designed to clamp down on abusive short-selling and ease bank rights issues

It's time to renew your tax credits

HM Revenue & Customs (HMRC) is issuing a timely reminder to tax credits claimants - make sure you renew your claim by 31 July, or your payments could stop

Spanish to join KPMG merger in Europe

The partners of KPMG's member firm in Spain have voted to join KPMG Europe alongside the UK, Germany and Switzerland

UK pay deals threaten inflation targets

Rising inflation is forcing scores of private sector companies to settle pay deals at levels that threaten the government’s inflation targets because of clauses in long-term pay deals

PwC pensions survey reveals impact of desired exodus from defined benefit schemes

The use of new strategies to reduce or rid the balance sheet of defined benefit (DB) pension liabilities is accelerating, according to the third PricewaterhouseCoopers Pensions Survey

BA raises levy on business travel

Business and first-class passengers travelling with British Airways are to be forced to pay higher fuel surcharges than economy passengers for the first time

Tax-based fee for late filing draws fire

Taxpayers who are late filing returns or paying their bills could face tax-geared penalties under controversial proposals put forward by Revenue & Customs

Retail surge fans interest rate rise fear

A record level of retail spending in May has provided a respite from gloomy economic predictions, but it has also fanned fears of higher interest rates

HBOS says house prices will fall by 9 per cent

HBOS, the UK’s biggest mortgage lender, on Thursday gave its gloomiest assessment yet of the housing market, saying it expected prices to fall by 9 per cent this year and that housing transactions would be down 45 per cent

King holds sway in Bank tussle

Mervyn King emerged victorious on Thursday from months of tussling over the financial stability arm of the Bank of England, when the Treasury published a new outline for reform of the banking system

Strengthened operating platform delivers strong growth for Johnston Carmichael

Johnston Carmichael, Scotland’s largest independent firm of chartered accountants, has unveiled full year results which show further strong growth throughout its markets in Scotland.

Bank in biggest shake-up for 10 years

Alistair Darling on Wednesday night unveiled the biggest government shake-up of the Bank of England in a decade, with plans to create a “financial stability committee” to address flaws exposed by the Northern Rock crisis

King and Darling issue bleak forecast

Alistair Darling and Mervyn King on Wednesday delivered the bleakest official assessments of economic prospects for 15 years in what the Bank of England governor said was “the most challenging period” since 1997

Scottish economy will escape worst of slump

Economic growth will slow less sharply north of the Border than in the UK as a whole, according to Strathclyde University’s Fraser of Allander Institute, which has just resumed its highly-regarded economic commentary series in association with PricewaterhouseCoopers after a break of nearly a year

Family firms gather for inaugural Scottish Family Business Association conference

Over 100 family business leaders, policy makers, academics and advisors gathered on Wednesday at the Scottish Family Business Association's flagship annual conference

Plea for timetable on accounting changes

Leading US companies could use the same accounting rules as international rivals in about five years, says the senior US accounting rulemaker

Northern Rock probes previous board

The new management of Northern Rock has launched an investigation into whether there are grounds for bringing legal action against the board who presided over the bank’s near collapse last September

Goldman’s SIV deal welcomed

Investors, bankers and policymakers have welcomed a deal reached by Goldman Sachs to restructure the first of a string of collapsed investment vehicles

Learn to live with inflation, says King

British households must learn to live with higher prices and without increased wages, Mervyn King warned on Tuesday, as he predicted inflation would reach at least 4 per cent by the end of the year

Mawhood crowned as CIPFA president

Caroline Mawhood has been chosen as the new president of CIPFA at the institute's high profile annual conference

Inflation could break 3 per cent barrier

The rate of inflation is expected to have risen above 3 per cent when the figures for May are released by the Bank of England

Audit committees put risk management at the top of agendas

With the credit crunch showing no sign of diminishing and an economic slowdown seemingly taking hold, audit committee members are putting risk management at the top of their agendas, according to the annual Audit Committee Member Survey conducted by KPMG’s Audit Committee Institute

Goldman plan could point way for SIVs

The Financial Times reports that Goldman Sachs is close to finalising a plan to restructure a $7 billion investment vehicle formerly run by London-based hedge fund Cheyne Capital, in a move that could potentially usher in a crucial new phase in the credit turmoil

Surge in employees past retirement age

The numbers of people employed past retirement age are growing faster than any other section of the labour market, according to official data

Avoiding the pitfalls in running a private company

ICAS has issued free guidance on the principles of good governance and how these may be applied in private companies

CBI cuts UK growth forecast again

UK economic growth will slow to its lowest level since 1992 next year, employers' group the CBI has warned

Barclays seeks to raise £4 billion

Barclays is seeking to raise as much as £4 billion ($8 billion) from outside investors as it seeks to shore up its balance sheet without having to launch a rights issue that could lead to aggressive writedowns

G8 sees rising inflation threat

Hank Paulson, US Treasury secretary, talked up the dollar in Osaka at the weekend as the Group of Eight finance ministers warned of the increasing threat inflation posed to their economies

Darling seeks City response on short-selling

Alistair Darling, the UK chancellor, will say this week that tough rules announced on Friday for anyone “short selling” shares in a rights issue are temporary and he is seeking dialogue with the City to find a lasting solution

ICAS calls for simplification of the Enterprise Investment Scheme

The Institute of Chartered Accountants of Scotland believes that the Enterprise Investment Scheme (EIS) could provide the incentive to encourage investment in uncertain times

BoE sees sharp rise in public’s inflation expectations

Public expectations of inflation have risen sharply in the past few months, increasing the likelihood that the Bank of England will countenance a prolonged period of sluggish growth, a survey showed on Thursday

Lehman shakes up management

Lehman Brothers executed a sudden management shake-up on Thursday, ousting its long-serving president and demoting its finance chief following a $2.8 billion second-quarter loss that raised questions about its future as an independent investment bank

Bob Keiller of PSN named Ernst & Young Scottish Entrepreneur Of The Year

The rapid growth of Aberdeen-based Production Services Network has been recognised in the award of Entrepreneur of the Year to its leader Bob Keiller, in the annual Ernst & Young awards

BP slams Russian 'corporate raid'

BP has claimed its Russian partners are trying to take control of a joint venture reminiscent of 1990s-style "corporate raiding activities"

Top BP accountant critical of rule-makers

Accounting rule-makers are so steeped in theory and academia that they risk endangering the smooth functioning of the world’s capital markets, according to a senior industry figure in today’s Financial Times

Underwriters face buying HBOS shares

Two investment banks backing a £4 billion rights issue by HBOS face the prospect of being stuck with unsold stock after the shares plummeted below the issue price on Wednesday

RBS confident on insurance sale

The Royal Bank of Scotland says it is still confident of selling its insurance arm for a healthy price, as the bank confirmed its trading performance had not changed since it launched its £12 billion rights issue in April

Lords Finance Bill Committee criticise handling of capital gains and residence and domicile tax changes

The changes to the rules on residence and domicile in the 2008 Finance Bill were poorly handled and may have damaged the UK's international Competitiveness, according to a report from the House of Lords Committee on the Finance Bill

King plans liquidity scheme for troubled banks

Mervyn King promised on Tuesday to keep liquidity in the banking system flowing “in all seasons” as the Bank of England governor outlined plans to create a permanent facility for troubled banks

Pensions rules block rescues

Regulations intended to protect pension schemes and their members are preventing company rescues, according to the professionals who specialise in turning around troubled businesses

Scottish banknotes' future secure

The Treasury has backed down over proposals which critics claimed could have jeopardised the future of Scottish banknotes

Personal web surfing at work ‘costs £10 billion a year’

The average UK office worker spends an hour and a half a week of work time surfing the web for personal use, at a cost to the economy of £10.6 billion a year, according to the Confederation of British Industry

Strong take-up for RBS cash call

Royal Bank of Scotland shareholders have agreed to buy more than 95 per cent of the shares offered in a £12 billion rights issue

Lehman suffers $2.8 billion loss

Shares in Lehman Brothers plunged on Monday as the bank disclosed a worse-than-expected $2.8 billio n second-quarter loss and said it would raise $6 billion in common and preferred shares to bolster its financial position

Danger of US downturn 'has faded'

The US economy may have avoided a major decline, according to US Federal Reserve Chairman Ben Bernanke, who says the risk of a substantial downturn had "diminished over the past month or so"

Choose Europe for quality of life

European cities dominate the worldwide rankings of locations with the best quality of living, according to the 2008 Quality of Living Survey compiled by Mercer, the consulting and investment services provider

Oil crisis dominates G8 meeting

The energy ministers of the world's leading industrialised nations have met in Japan amid fears soaring oil prices could damage the global economy

Chief Economist Charlie Bean wins No2 post at Bank of England

Charlie Bean, the Bank of England’s chief economist, is to get the job of Bank deputy governor to replace Rachel Lomax, according to the Sunday Times

UK companies pay more tax than Europeans

Large British companies pay more in corporate taxes on the wealth they create than their competitors in Germany, France and Switzerland, a UK government study has found

City salaries defy slowdown says recruiter

City pay is rising in spite of the widening effects of the credit crunch, according to a specialist recruiter. It says average rates for new joiners in core City jobs such as sales and trading have fallen more than 8 per cent in the past year, but other sectors including insurance and the pensions industry, have seen starting salary jumps of more than 10 per cent

Watchdog to get tough on qualified accounts

Directors of more than 50 large private companies which filed qualified accounts are to receive a warning from the Financial Reporting Review Panel to clean up their act

ECB considers July rates rise

Eurozone countries were put on alert on Thursday that interest rates were likely to rise next month in the most dramatic policy response so far to global inflation caused by high oil and food prices

City panel to oversee Bank of England

A panel of eminent City figures is to be brought in to make the Bank of England more alert to looming financial trouble and help avoid a repeat of the Northern Rock fiasco, under plans revealed by Chancellor Alistair Darling

Lloyds TSB wins Scottish Business in the Community award

Lloyds TSB Scotland's foreign nationals banking service, including branches with Polish-speaking staff, has helped it carry off this year's large company award in the Scottish Business in the Community (SBC) annual awards for corporate social responsibility

Bank of England keeps bank rate at 5.0 per cent

The Bank of England’s Monetary Policy Committee today voted to maintain the official Bank Rate paid on commercial bank reserves at 5.0 per cent

Advanced economies ‘survive perfect storm’

Advanced economies have survived a "near-perfect storm" in financial markets remarkably well, the Organisation for Economic Cooperation and Development said on Wednesday, as it predicted recoveries in the US and European economies next year without inflation taking root

BP Russia chief in corporate tax probe

The chief of BP’s Russian oil venture was on Wednesday summoned for questioning by the interior ministry as part of a criminal investigation into possible large-scale tax evasion

Three senior advisors from industry join FSA

The Financial Services Authority has appointed three new senior advisors with substantial market experience. Jeremy Bennett, David Smith and Simon Stockwell will join the wholesale and institutional business unit with immediate effect

Scots becoming greener – but how deep are the roots?

Scots have become more environmentally conscious in the last few years and regard the environment as one of the top three global issues, new research by professional services firm KPMG shows

PWC sponsors Fraser of Allander relaunch

PricewaterhouseCoopers has helped to revive the Fraser of Allander Commentary, one of the most respected sources of independent economic analysis for Scotland

Banks fear new $5,000 billion balance burden

Accounting changes could force US banks to take thousands of billions of dollars back on to their balance sheets in the coming months in a move that is likely to curb further their lending and could push them into new capital raisings, analysts have warned

Banks left short of time after rights retreat

When the Royal Bank of Scotland launched its £12 billion rights issue in April, many bankers believed it signalled the beginning of a wave of fundraisings by UK banks

From bean counter to strategist - KPMG predicts the future of finance

Over the next 12 years finance professionals need to be converted from spending 85 per cent of their time extracting financial data and 15 per cent adding insight, to 95 percent of their time adding insight, according to KMPG’s look ahead to finance in 2020

Sky-high salaries fail to please UK workers

Maybe it’s the credit crunch, but despite their often impressive salaries, bankers are among the UK’s least satisfied workers, according to the City and Guilds Happiness Index. Maybe they should go into beauty therapy instead, with beauticians rated the happiest. Accountants didn’t merit a mention

'Don't panic' plea from worried Scottish giants after B&B crisis

The Royal Bank of Scotland and HBOS issued what amounted to "don't panic" pleas over their £12 billion and £4 billion respective rights issues yesterday following the crisis which engulfed rival Bradford & Bingley

‘Price fixing’ probe at RBS and Barclays

Royal Bank of Scotland and Barclays have been raided by the Office of Fair Trading in the latest example of the competition watchdog’s hardline approach to possible price-fixing

US to impose stricter visa rule

Passengers travelling to the United States from countries whose citizens do not need visas must register online with the US government at least 72 hours before departure, in the latest measure to strengthen American security

E&Y firms to give up national control

Ernst & Young is to announce that 86 operations across Europe, the Middle East, India and Africa have agreed to relinquish national control of their partnerships for a stake in a single management covering the entire region, according to a report in the Financial Times

TPG buys £150m stake in B&B

Bradford & Bingley, the UK’s biggest buy-to-let lender, will announce on Monday that private equity firm Texas Pacific Group will invest £150m in buying a 20 per cent stake

Treasury to lose billions in downturn

Chancellor Alistair Darling yesterday admitted the Treasury could lose billions of pounds of planned revenue as a result of the economic downturn

UN food chief seeks tenfold rise in aid

Rich countries must increase their aid to agriculture tenfold £15 billion a year to help resolve the global food crisis, according to the United Nations’ top agriculture official

Plan to make complex debt more expensive

International regulators and supervisors have started drawing up plans to make it far more expensive for investment banks to hold large volumes of complex financial instruments, such as mortgage-linked securities, in their trading books

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