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Audit

The audit area has information and guidance on completing all stages of an audit as well as making the decision around whether or not an audit is required. There are links to technical help, webinars, publications and events as well as audit representations.

Proposed regulatory change: requirement to notify ICAEW about new audits

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Need to know

Guide to the auditing implications of the war in Ukraine
  • Helpsheets and support
The situation in Ukraine is changing daily, as is the reaction by the UK government and international community. We take a look at some of the key considerations for auditors.
Using tech to enhance audit
  • Article
The rate of technology adoption has accelerated during and post-pandemic as firms have engaged with new ways of working. How are these ever-changing tools reshaping audit?
Using an electronic signature to sign an audit report
  • Helpsheets and support
This guide was developed by the Audit and Assurance Faculty with the Business Law Department in July 2020 and is based on the relevant laws and regulations that apply as at 1 July 2020.

Latest developments in audit

Guidance and support from Audit and Beyond and the Audit and Assurance Faculty's technical news in brief.
Exclusive Q&A: May 2024
  • Helpsheets and support
  • 14 May 2024
ICAEW’s Technical Advisory Service answers topical questions on UK audits, with pointers for group and component auditors.
Exclusive Audit and reporting updates: May 2024
  • Helpsheets and support
  • 14 May 2024
Learn more about the Audit & Assurance Conference 2024, plus a new professional judgement tool, changing PII requirements, topical webinars and technical updates.
Exclusive Ways to enhance audit sampling
  • Article
  • 14 May 2024
Finesse your approach to audit sampling. Peter Herbert, from Insight Training, highlights some good practices and pitfalls for smaller firms to consider.
Why Audit? Because you never stop learning
  • Article
  • 14 May 2024
“It’s not just the right role you’re looking for, it’s the right place.” That’s the advice of Just Audit founder Rachel Davis as she discusses her career as an auditor.
Exclusive Sustainability assurance: embracing the future
  • Article
  • 14 May 2024
Hear from our new CEO Alan Vallance on the critical role of sustainability assurance in today’s business landscape.
Exclusive Elevating ethical standards
  • Article
  • 14 May 2024
The FRC’s 2024 Ethical Standard will affect small firm policies, procedures, staff and partners. Julia Penny highlights some key considerations.
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Appointment and engagement terms

Exclusive Remote auditing - administration
The spread of the coronavirus pandemic (COVID-19) resulted in the rapid adoption of remote working, including remote auditing techniques. This extract from the Audit and Assurance Faculty Know-How guide 'Remote auditing in practice' focuses on audit administration.
Exclusive Engagement letters and privacy notices
  • Helpsheets and support
ICAEW has developed guidance for practice firms on what to include in engagement letters. This page provides a series of sample wordings to help you draft your own engagement letters.
Exclusive Agreeing the terms of audit engagements
  • Helpsheets and support
ISA 210 sets out the requirements for agreeing audit engagement terms. This guide looks at the requirements and highlights potential implementation challenges for auditors.
Exclusive The importance of achieving audit objectives
  • Helpsheets and support
ISA 200 highlights the importance of objectives in auditing standards. Understanding ISA 200 is fundamental to understanding the challenge of implementing ISAs. This guide seeks to help auditors understand the overall objectives of the auditor and how they relate to the individual objectives and requirements in ISAs, and the role of professional judgement and scepticism.
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Audit exemption

Audit exemption eligibility
  • Article
Learn whether your organisation qualified for audit exemption for reporting periods beginning on or after 1 January 2016, under the Companies Act 2006 as amended by SI 2015/980. ICAEW's Technical Advisory Service provides guidance covering: group eligibility; eligibility of UK subsidiaries; and audit exemption conditions.
Filing requirements for audit-exempt organisations
  • Listing
Read about preparing financial statements for audit-exempt organisations, including filing requirements
Alternative services for audit-exempt organisations
  • Helpsheets and support
Learn more about other services and forms of assurance that may be of benefit to audit-exempt organisations.
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Audit reform

ICAEW’s Audit and Assurance Faculty unpacks the UK government proposed measures to restore trust in governance, reporting and auditing.

IoD code of conduct for directors needs teeth, ICAEW warns
  • Article
  • 26 Jun 2024
ICAEW expresses concerns about the effectiveness of a voluntary code with no enforcement mechanism or register of signatories.
Influencing policy to support you: May 2024
  • Article
  • 31 May 2024
ICAEW has been meeting with MPs to discuss economic growth and the opportunities offered by technology, as well as giving evidence to parliament on audit reform and the effectiveness of sanctions on Russia.
Audit reform is “a priority for Labour”
  • Article
  • 14 May 2024
Jonathan Reynolds MP, Shadow Business and Trade Secretary, lays out broad plans for a Labour government should they win the next general election.
Why the resilience statement hasn’t gone away
  • Article
  • 18 Apr 2024
Despite the government dropping a requirement for UK plc to produce a resilience statement, some businesses still see the benefits of adopting its principles.
Sustainability: the most-needed knowledge for boards
  • Article
  • 16 Apr 2024
Every NED – not just ‘the ESG person’ – must have a basic grasp of sustainability issues for a board to function effectively, says Jeannette Lichner.
How the ‘thinking board’ boosts corporate resilience
  • Article
  • 11 Apr 2024
Boards that prioritise transparency and risk awareness will have the correct mindset to help their companies withstand shocks.
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Auditing accounting estimates

How are accounting estimates picked up in risk assessments?
  • Article
Understanding the entity, its environment and internal controls.
Exclusive Inherent risk factors in auditing accounting estimates
  • Helpsheets and support
What are they and how might they influence your audit of accounting estimates.
The spectrum of inherent risk
  • Article
Understanding the new concept and how this can be applied.
Exclusive Determining high estimation uncertainty and significant risk
  • Helpsheets and support
How to identify whether any risks of material misstatement identified give rise to significant risks.
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See the Faculty's latest webinars, technical releases and publications

As a member of the Audit and Assurance Faculty, you have access to a range of exclusive guidance and support. This includes:

  • Audit and Beyond Events
  • Technical releases
  • Thought leadership
  • Webinars
View all publications and events
ICAEW's Audit and Assurance Faculty can help you stay ahead of the curve with its essential guidance and technical advice.

Group audits

Guide to the impact of the war in Ukraine on group auditors
  • Helpsheets and support
This guide explores issues faced by UK group auditors with overseas component auditors in light of the Ukraine conflict.
Auditing groups of companies Group financial statements presents challenges to both group and component auditors.
Audit & Beyond archive
  • Hub page
Providing valuable content, best practice and topical issues within the profession.
Preparing an audit report for a group - combined audit report for the group and parent company
  • Helpsheets and support
This guide is designed to explain the main changes that are needed to the audit report of a group compared to that of a company only.
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Professional scepticism and judgement

Professional judgement ICAEW brings together a range of resources on professional judgement to help you develop your skills in approaching difficult judgements.
Exclusive Scepticism and judgement: overcoming impediments
  • Article
Identifying and addressing barriers to the exercise of professional scepticism and judgement can enhance audit quality. Simon Kettlewell shares his tips.
Exclusive Intuitive judgements and how to improve them
  • Article
Tips from auditors and regulators on understanding, managing and mitigating biases that may hinder objective reasoning.
Exclusive Scepticism and challenge
  • Article
All auditors want to apply professional judgement with scepticism and appropriate management challenge, but which key attributes and elements should be the focus of this never-ending quest?
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Quality management

Countdown to ISQM 1 – is your practice ready?
  • Podcast
In this Insights In Focus special episode, we discuss the rollout of the International Standard on Quality Management (ISQM) and what firms need to do before ISQM 1 is implemented on 15 December 2022.
ISQM 1 implementation deadline draws near
  • Article
Not started yet or in need of further help? Don’t despair, ICAEW shares key resources for small practitioners on ISQM implementation to get you on your way.
Overview of standards
  • Helpsheets and support
Key changes, effective date and overview of the Quality Management Standards.
Getting started with ISQM 1
  • Helpsheets and support
Steps firms can take now on their quality management journey.
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Supporting audit quality

Guidance and support for auditors and practices on conducting audits, covering:

  • taking on audits;
  • planning and performing audits;
  • completing audits; and
  • standards and regulations.
View all resources
ICAEW's Library and Information Services can help you find the information you are looking for

Reporting and completion

How to report on irregularities, including fraud, in the auditor’s report – a guide for auditors
  • Helpsheets and support
This Know-How guide from ICAEW’s Audit and Assurance Faculty covers what irregularities are, how the requirements have changed in ISA (UK) 700 (Revised January 2020), what should be reported on in the auditor’s report, and how COVID-19 may impact what is reported.
Reporting and completion
  • Listing
Access practical resources on auditor reporting and completion to help understand auditors’ responsibilities in this area and the requirements of International Standards on Auditing (ISAs). These resources include practical guides and articles on audit reports, and other helpsheets to help deal with the challenges that may arise.
Using an electronic signature to sign an audit report
  • Helpsheets and support
This guide was developed by the Audit and Assurance Faculty with the Business Law Department in July 2020 and is based on the relevant laws and regulations that apply as at 1 July 2020.
Exclusive Reporting in an ISA audit
  • Helpsheets and support
IAASB issued a suite of revised and new auditor reporting standards (ISAs) addressing the audits of complete sets of general purpose financial statements in 2015. The changes mainly focus on increasing transparency about the audit performed. This guide outlines the key requirements for auditors.
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Risk assessment, internal control and response to risks in external audit

Introducing the new risk assessment ISA for 2022 audits
  • Article
14 January 2020: the IAASB has issued ISA 315 (Revised 2019) Identifying and Assessing the Risks of Material Misstatement.
Risk assessment and response to risks in external audits understanding and applying the requirements
  • Helpsheets and support
An overview of the relevant requirements, challenges and developments in risk assessment.
Materiality in the audit of financial statements
  • Helpsheets and support
Applying the materiality requirements in International Standards on Auditing (ISAs) can be challenging. As highlighted in inspection findings, reviews and from experience in practice, it’s an area where improvement could be made.
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Technology and audit

Over-reliance on automation: a cautionary tale from Plato
  • Article
  • 27 May 2024
The dangers of too much tech are not a new concern – Konrad Bukowski-Kruszyna explains why accountants can take a sceptical cue from the ancient Greeks when it comes to AI.
How auditors can meet the client tech challenge
  • Article
  • 22 May 2024
Understanding how clients’ tech systems are operating is vital due to the demands of the revised ISA 315, but there are many strategies and tools that can help.
Exclusive Unsung heroes, navigating career challenges to drive value
  • Article
  • 09 Apr 2024
ICAEW recently hosted a webinar where three experienced internal audit professionals shared their insights on the evolving landscape of internal audit, the skills needed to succeed in this field, and strategies for overcoming common challenges.
Exclusive The role of Internal Audit in ethical AI
  • Article
  • 21 Mar 2024
As AI progresses and gains wider acceptance, ethical considerations become increasingly significant. AI introduces ethical challenges across various domains, including democracy, justice and diversity and inclusion. This article explores these considerations, the associated risks, and the role internal auditors can play in promoting ethical conduct.
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Data Analytics Certificate

Sign up to the ICAEW Data Analytics Certificate, learn how to provide powerful audit insights to identify anomalies, accounting and control overrides.

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