Continuing professional development (CPD) is the means by which a statutory auditor maintains and enhances their professional knowledge, skills and values. An effective programme of continuing education achieves the outcomes listed below;
- The statutory auditor actively maintains and enhances the knowledge, skills and values they need to perform high quality audits and deliver a professional service to their clients.
- It contributes to the performance of high quality audits, and thereby safeguards the public interest.
- It enhances public confidence in the auditing profession
Records should be maintained for a period of 6 years to demonstrate CPD planning, completion and evaluation. The auditor should be able to demonstrate that through completion of CPD that they have achieved the learning outcomes in Table A of
IES 8.
Further guidance and templates for the completion of CPD by statutory auditors is available here.
A review of CPD conducted by all statutory auditors in the firm will be conducted. The period for review may cover the two previous years in the CPA CPD cycle but at a minimum one year and any CPD conducted up to the date in the year of the review.
Details provided for review should consist of the following;
- Record of CPD planning– this should provide for a reflection on the knowledge, skills and values required to competently fulfil professional responsibilities, identifying the learning and development needs and deciding on the CPD activities necessary to address them.
- Details of CPD completed - this should demonstrate the completion of sufficient, relevant and appropriate CPD annually to meet the learning and development needs and the maintenance and enhancement of the statutory auditors’ knowledge, skills and values in all areas of work undertaken by the auditor.
- Details of evaluation process conducted to support the maintenance of professional knowledge, skills and values at a sufficiently high level.
- The reviewer may request additional information but will advise during the course of the review as applicable.
There are three possible outcomes from this review;
| Grade |
Action |
| Compliant |
No follow up action necessary. |
| Generally compliant |
Some follow-up action will be required by the member or affiliated partner within a specified period to address areas of weakness identified, with a view to achieving a “Complaint Grade”. |
| Non compliant |
Where a significant number of areas of weakness or more serious problems are identified, and compliance with obligations is deemed unsatisfactory. A detailed plan to address these will be required to be provided and implemented. A Quality Assurance Officer may also refer a case to the Director of Professional Standards or the Quality Assurance Manager or Practice Regulation Manager where non- compliance with CPD requirements is identified for further action in line with Bye Law 7.17.6. |
| No Grade |
Where it is not possible to assess the adequacy and appropriateness of the CPD records for a statutory auditor. This may occur where a member or affiliated partner does not engage in the review. This is deemed unsatisfactory and requiring remedial action This may result in referral of the matter to the Director of Professional Standards or Quality Assurance Manager or Practice Regulation Manager in accordance with Bye Law 7.17.6. |