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US delays accounting changes

Banks have been given a one-year reprieve by US accounting standard-setters from having to take up to $5,000 billion (£2,520 billion) of debt assets on to their balance sheets, easing fears that they would be forced to raise large amounts of new capital quickly

HMRC caves in over repaying VAT on fund management of VCTs

HM Revenue & Customs (HMRC) will be liable to make repayments of millions of pounds following its acceptance that fund management of venture capital trusts (VCTs) should have been exempt from VAT since January 1990, say VAT experts at accountants PKF

POB publishes update of Key Facts and Trends in the Accountancy Profession

The Professional Oversight Board, an operating board of the Financial Reporting Council (FRC), has published a new edition of Key Facts and Trends in the Accountancy Profession.

Professional bodies register note of caution over development of online tax return filing

The Institute of Chartered Accountants of Scotland, together with the six other professional bodies that are part of the Working Together E-Group welcome HM Revenue & Customs’ (HMRC) current review of their online tax return filing system

Doha trade talks collapse

The Doha round of global trade talks, now in its seventh year, broke up without agreement on Tuesday after nine days of tense negotiations

Eight arrested in FSA insider dealing inquiry

Workers at the Swiss bank UBS and JPMorgan Cazenove, one of the oldest names in the City of London, were arrested for alleged insider dealing on Tuesday as police raids sent a chill through the UK capital’s trading rooms

Act with urgency over mortgages, says BPF

The British Property Federation (BPF), trade body for the property industry, has backed calls by mortgage lenders for swift government action to encourage market activity

Consultations launched on asset management taxation

Enhancing the competitiveness of the UK’s asset management industry is the focus of three consultation papers announced by the Economic Secretary to the Treasury, Kitty Ussher MP

Ernst & Young announces 282 new EMEIA partner admissions

Ernst & Young has announced the admission of 282 new partners to its practices across Europe, Middle East, India and Africa (EMEIA) with immediate effect

IMF sees no end in sight to credit crisis

Global financial markets are ‘fragile’ and indicators of systemic risk remain ‘elevated’ almost a year into the credit crisis, according to the International Monetary Fund’s update to its Global Financial Stability Report

Banks suffer as fraud rides high, says KPMG

Banks have been the main targets of a major spike in fraud coming to court in the first six months of 2008, according to KPMG Forensic’s Fraud Barometer

ASB ‘delighted’ with the volume and quality of responses received on discussion paper the Financial Reporting of Pensions

The Accounting Standards Board issued the paper in January 2008 with the aim of stimulating debate and influencing international opinion on the reporting of pensions

Labour MPs told to ‘show backbone’

Gordon Brown’s closest political ally issued a rebuke to Labour MPs plotting to remove Gordon Brown on Sunday, urging them to show “some backbone”, amid continuing speculation that the premier could face a leadership challenge in September

MPs warn of energy price impact

Rises in gas and electricity bills in the near future will have serious consequences for millions of households, an MPs' committee has said

Grant Thornton expands corporate finance team

Grant Thornton, the second-tier accounting firm, has expanded its corporate finance team in a vote of confidence in the prospects for the Scottish mergers and acquisitions market

If MPs don't understand affect of tax laws changes, then what hope have we? asks ICAS Director of Taxation Derek Allen in The Scotsman

Understandably, the big political story in the week just past was the Glasgow East by-election. The run-up to the vote on Thursday dominated the headlines, the aftermath has been sliced and diced by the weekend papers and political television shows. Very few people in the country would have noticed that in the same week, Royal Assent was also granted to Alistair Darling's first Budget

The credit crunch is hitting the UK worse than the US

UK-headquartered companies are suffering more than their US peers from the effects of the liquidity crisis, according to a survey by KPMG.

ICAS warns on common errors as tax credit deadline approaches

Institute of Chartered Accountants of Scotland has listed some of the mistakes most often found in tax credit returns, ahead of the 31 July deadline for renewing claims.

Scott Barnes appointed to head Grant Thornton

Grant Thornton’s UK firm has announced the appointment of Scott Barnes as the firm's CEO following his election by the partnership.

UK retail sales dip as fears of downturn grow

Retail sales for June in the UK slumped by 3.9 per cent, reversing a jump of 3.6 per cent for the previous month, data from the Office of National Statistics reveals today.

Insurance industry warns Chancellor over foreign tax review

The Association of British Insurers has welcomed the Government’s U-turn on the taxation of UK companies’ foreign earnings, but says there is still a risk that the UK tax regime could drive companies into relocating overseas.

Deloitte achieves a sixth year of double-digit revenue growth worldwide

Deloitte Touche Tohmatsu, the global firm of which Deloitte is the UK arm, has announced that its overall revenue increased by 18.6 per cent in US dollars, and 13 per cent in local currencies, to $27.4 billion (13.69 billion) in its 2008 fiscal year.

Tax accountants urge government to “think smallest first”

Tax professionals surveyed for the Forum of Private Business (FPB) say the Government needs to reform the tax system urgently to support small businesses across the UK.

ICAS calls for HMRC’s business mileage rates to rise

Mileage expenses for business travel in employees’ own vehicles need to be increased significantly to reflect the additional costs of motoring, according to The Institute of Chartered Accountants of Scotland.

CBI welcomes Government move on taxation of foreign earnings

The Confederation of British Industry has welcomed the Government’s decision to scrap controversial plans to tax UK companies’ foreign earnings, but some experts believe that damaging confusion is set to continue.

Financial services companies with “critical problems” increase 300 per cent in second quarter 2008

Begbies Traynor’s “Red Flag A!ert” statistics signal increasing difficulties for UK Financial Services companies.

HMRC probes wealthy Britons over Liechtenstein investments

The UK tax authorities hope to recover up to £300m from an investigation into accounts held by wealthy Britons in the tax haven of Liechtenstein.

Green issues still matter to Scots businesses

Energy efficiency is now the number one cost-cutting priority for Scottish businesses looking to combat the impact of a potential economic slowdown, a study has found.

HM Treasury launches consultation on details of its banking rescue regime

Details of a new regime designed to reduce the impact of a failing bank have been released for consultation today by the UK Government.

PricewaterhouseCoopers questions assumptions on Local Income Tax plan

Proposals to replace council tax in Scotland with a local income tax raise a number of unanswered questions, according to PricewaterhouseCoopers.

ICAS calls for business mileage rates to rise

Mileage expenses for business travel in employees’ own vehicles need to be increased significantly, according to The Institute of Chartered Accountants of Scotland.

Small business lobby calls on Government to set example on late payments

The Forum of Private Business (FPB) is calling on government agencies to pay smaller firms promptly in order to set an example for larger companies.

HBOS rights issue flops with 8.29 per cent take-up

Investors have largely snubbed the £4 billion rights issue for UK bank HBOS, with just 8.29 per cent of the shares on offer being taken up by the deadline at the end of last week.

Darling set for climb down over foreign earnings

The Government is planning to drop its plans for swingeing anti-avoidance measures on UK companies’ foreign income, according to The Financial Times.

One in five applicants for City finance jobs puts in a misleading CV

A survey of nearly 4,000 applications for graduate jobs in the City found “discrepancies” ranging from embellishment to downright falsehoods in 22 per cent of cases.

ITEM Club warns UK economy is close to recession

Ernst & Young’s economic think tank, the ITEM Club, warns that the “toxic mixture” of a moribund credit market and volatile oil price will ensure a tough time ahead

Treasury to reform Brown’s fiscal rules

Treasury officials are working privately on plans to reform Gordon’s Brown’s fiscal rules on spending and debt with a new framework that would initially allow for increased borrowing

IMF raises world economic targets

The International Monetary Fund (IMF) has raised its global economic forecast after the impact of a credit crunch was not as severe as had been first feared

Alert over Revenue’s £2.7 billion shake-up

A £2.7 billion investment aimed at transforming the way Revenue & Customs works may not pay off, the National Audit Office warned on Thursday – just as the department announced a delay to one of the programme’s main components

Sir Christopher Hogg to serve further year as FRC Chairman

Gareth Thomas, Parliamentary Under Secretary of State for Trade and Consumer Affairs, has announced that he is extending the term of Sir Christopher Hogg as Chair of the Financial Reporting Council by one year

Lord Wakeham escapes probe over Enron role

The Joint Disciplinary Scheme has opted not to take action against Lord Wakeham for his role as a non executive director and member of the audit committee at Enron when it collapsed

Underwriters braced for hit as HBOS slides

Underwriters to the HBOS rights issue were on Wednesday night preparing to pick up the tab for the UK mortgage bank’s £4 billion cash call after a fresh slump in the stock made it highly likely that shareholders would shun the fundraising

Compensation call over Equitable

Ministers should set up a compensation fund for policyholders in the Equitable Life, the Parliamentary Ombudsman says. The life insurance company came close to collapse in 2000 after being ordered by the High Court to fulfil financial promises which it could not afford

Business confidence at decade low

Business confidence in some sectors of the Scottish economy has fallen to its lowest rate in 10 years, according to a quarterly survey. The Scottish Chambers of Commerce warned that lower orders and higher costs were now affecting companies across the board

Bernanke highlights risks facing US economy

Ben Bernanke highlighted the “numerous difficulties” facing the US economy in a sobering testimony on Tuesday that sent markets on a rollercoaster ride as he signalled serious risks on both the growth and inflation fronts

US worries hit bank shares

Bank shares across Europe were hit by a fresh wave of selling on Tuesday, as investor fears about the health of the US financial system intensified

IASB 'fair value' rules will not be diluted

The principal body responsible for global accounting rules said it would not dilute the "fair value" standards that critics blame for increasing the scale of credit crisis-related writedowns at banks

Entrepreneur Scots make rich list

Jim McColl, owner of Clyde Blowers, tops list of Scots who make up nearly a quarter of the top 100 wealthiest entrepreneurs on the Vocational Rich List

US bail-out fails to calm nerves

Confidence in some of the largest regional US banks buckled on Monday as the government’s rescue plan for mortgage giants Fannie Mae and Freddie Mac failed to allay equity markets’ fears over the stability of the broader financial sector

Alert on ASB’s pension accounting proposals

Controversial proposals to radically alter pensions accounting could double the liabilities reported by some schemes and risk more defined benefits schemes closing to new members, according to the National Association of Pension Funds

Investors pin hopes on rival A&L bid

Alliance & Leicester’s shareholders were on Monday night pinning their hopes on a rival bid after its board recommended a cut-price £1.26 billion takeover by Santander just seven months after the beleaguered banking group passed up a deal with the Spanish bank that could have valued it at more than twice as much

Audit spots possible £1.5 billion tax credit error

The public spending watchdog has refused to sign off the accounts of Revenue & Customs for the sixth successive year after discovering that as much as £1.5 billion may have been overpaid in tax credits

Rescue plan for US mortgage giants

In a dramatic effort to quell the crisis surrounding Fannie Mae and Freddie Mac, the US government on Sunday night announced that it will seek unlimited authority from Congress to lend money to the troubled mortgage groups and invest in their equity

Local income tax proposals are 'unworkable': ICAS

The Institute of Chartered Accountants of Scotland has cast serious doubts on the Scottish Government's plan to introduce a local income tax, amid claims that it could prove unworkable

Scottish economy shrank at fastest rate on record

The Scottish private sector is experiencing some of the worst conditions ever recorded by the Royal Bank of Scotland's purchasing managers' index with service companies particularly hard hit

UK companies struggling to raise funds

Companies are finding it harder to raise the funds they need as the impact of the credit crunch spreads into the corporate sector, a survey of finance directors at large UK companies has found

Bank of England holds rates in waiting game

The Bank of England sat on the fence on Thursday, holding interest rates at 5 per cent as its monetary policy committee bought time to see how the oil shock and credit crisis will affect the economy

Video killed the passenger numbers

Passenger numbers at Scotland's three biggest airports dipped last month as business travellers cut back on domestic flights – opting for video-conferencing instead

Desperate wives turn to divorce experts

It is perhaps the most alarming sign of the credit crunch yet. Slumping City bonuses are driving long-suffering wives to their divorce lawyers for advice on how to protect their own interests

New partners and promotions at PricewaterhouseCoopers in Scotland

PricewaterhouseCoopers in Scotland has announced the appointment of two new partners, Catrin Thomas and Jason Morris. Both work in the firm’s Scottish assurance practice. Catrin specialises in risk issues working with clients across the financial services sector and Jason advises clients on the planning and execution of complex transactions

Road tax increase 'will hit 9m'

An estimated nine million motorists will have to pay more road tax under reforms aimed at punishing gas-guzzling vehicles, the government has admitted

City high-flyers 'finished at 50'

The City's top 10 careers may have an average wage packet of £534,400 a year – but they are set to end their careers at 50, according to research by Route City Wealth Club

Dame Barbara Mills replaces Sir John Bourn at Professional Oversight Board

Dame Barbara Mills is to take over the chair of the Professional Oversight Board, replacing Sir John Bourn, who earlier this year announced that he will step down from the role after serving more than two full terms

Banks use accounting rule to cushion losses

Banks are set to cushion the blow of more credit-related losses by using an accounting rule that enables them to record exceptional gains when their financial health deteriorates

Big Four all honoured for local activities

The Big Four firms have all been awarded the Community Mark award by Business in the Community for their continued investment in the local community

UK set for '2 years hard labour' but no recession

The Centre for Economics and Business Research (CEBR) predicts two years of stodgy growth for the economy – but a recession will be avoided. The body predicts the GDP growth will hit 1.7 per cent in 2008, down from 3.0 per cent growth in 2007, and slow to 1.3 per cent in 2009 – the worst since 1992

G8 leaders reach deal on climate change

Group of Eight leaders on Tuesday concluded what they presented as a breakthrough agreement on climate change, agreeing a carbon emissions cut of “at least 50 per cent” by 2050 and committing to the principle of mid-term reduction or stabilization targets

Recession 'looming' for UK firms

The UK is facing a serious risk of recession within months, the findings of a survey of almost 5,000 small and medium-sized businesses suggest. The British Chambers of Commerce's (BCC) quarterly report found the credit crunch and rising costs had dented the most important sectors of the economy

Page highlights UK banking 'crisis'

Recruitment firm Michael Page International spotlighted yesterday that the streets of London are no longer paved with gold, as UK profits edged up just 1.2 per cent to £48.5m in its latest trading quarter

Rising costs to dominate G8 talks

Rising food and fuel prices are set to top the agenda for leaders of the world's major industrialised nations as they start a key summit in Japan. The hosts had hoped climate change would be a top issue at the meeting of the Group of Eight (G8) nations but the global economy is sure to dominate

Caution becomes watchword at small firms

Of around 1000 companies with a turnover of up to £1m, some 77 per cent would rather hold on to their cash rather than make any immediate decisions about investment in the business, according to a Bank of Scotland survey. But despite expressing an intention to rein back their spending, small business owners are still investing more back in to their businesses than they are saving

Confusion over UK rules on shorting

Rules introduced by the UK’s financial watchdog that force hedge funds to disclose short positions in companies holding rights issues have caused confusion among investors

IRS to seek accountants’ help on evasion

The US Internal Revenue Service is to solicit the help of the world’s top accounting firms in its widening effort to clamp down on offshore tax evasion

PM warns of difficult times ahead

Gordon Brown on Thursday put the country on notice to expect “difficult times” ahead as he urged City leaders to show pay restraint and predicted the public purse would suffer from rising oil prices

Worse to come on UK credit front: BoE

The credit squeeze has tightened its grip on UK households and businesses, and conditions are likely to get even tougher in the months ahead, the Bank of England warned yesterday - adding to a growing body of evidence that the economy is on the road to a nasty downturn

UK spending power 'in heavy fall'

UK consumer spending power has fallen ‘dramatically’ due to a large rise in the cost of living, according to research by Ernst & Young. The average household is 15 per cent worse off than it was five years ago, the firm’s Annual Discretionary Income Study says

M&S and Taylor Wimpey cast pall over City

Britain is facing the most severe consumer downturn since the 1990s, Sir Stuart Rose said on Wednesday as Marks and Spencer shocked the City with an unexpected profits warning

Deloitte bolstered by ‘downturn’ work

The Financial Times reports that John Connolly, head of Deloitte UK, told partners that the accounting firm had produced revenues of £2.01 billion in the year to the end of May – just beating his 2006 target of hitting £2 billion within two years

AIC welcomes disclosure on CfDs

The Association of Investment Companies (AIC) fully supports the FSA’s decision to require the disclosure of Contracts for Difference (CfDs)

HW Chartered Accountants joins with Benson & Co and Hodgson & Co

The Edinburgh practice of top 20 accountancy firm Haines Watts has merged with Benson & Co and Hodgson & Co. The merger represents part of HW's plans to strengthen its presence in Scotland despite the economic climate. "This is the time when our clients need our help most,” said Fraser Kerr, managing partner. "The strengthening of our team is happening at exactly the right time."

UK business confidence hits lowest level since 1992

UK business confidence has plummeted to a 16 year low, reflecting the deepening impact of the credit crunch and rising food and energy prices, according to a report from accountants and business advisers BDO Stoy Hayward

Chancellor faces ire over backdated tax

Alistair Darling faces more public anger over tax after the Conservatives calculated his plans to backdate vehicle excise duty will hit at least 2.3m people

Public believes business dodging taxes

The public believes big companies and wealthy individuals dodge taxes too easily, according to Trades Union Congress research that sparked an angry response from business leaders

Deloitte partner calls for move to US-style tax rules

Pressure on tax dodgers could be stepped up by adopting a US-style reporting regime for financial institutions, MPs were told on Tuesday. The Financial Times reports that John Cullinane, a partner at Deloitte, told the Commons Treasury committee that a move to a US-style system was “certainly worth exploring”. The US introduced its rules in 2001 in an attempt to catch US citizens trying to dodge taxes by anonymously investing through foreign institutions.

Risk grows of UK economic pain

The risks of a painful correction in the economy are increasing, judging by economic data showing new mortgage lending has collapsed, consumer confidence near all-time lows, and lower productivity that will put pressure on businesses to cut jobs

Survey shows ethics high on the business agenda, but there is a lack of practical impact

Eighty-four per cent of finance professionals believe that business has a moral obligation to help address global issues, according to a new report

Proposals for new FRC funding arrangements

The Financial Reporting Council has published proposals for a new basis for funding its responsibilities for accounting, auditing and corporate governance

P11D mistakes could cost firms up to £3,000 per incorrect form, warns KPMG

While filing file P11D forms any later than 4 July this year will result in employers receiving a £100 penalty from Her Majesty’s Revenue and Customs (HMRC), a mistake on a P11D form could cost them 30 times as much, warns KPMG

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