Double threat of COVID-19 and Brexit fails to encourage UK workers to upskill
Our 2020 Mind the Skills Gap research reveals that the COVID-19 pandemic has worsened the UK’s employability skills gap enough to potentially hinder the country’s long-term recovery and ability to compete on the world stage. The situation could be made worse with the end of the Brexit transition period as employers lose access to the EU-wide talent pool, disrupting both supply of and demand for talent across the country.
Thinking of making the move into practice?
There can be no doubt that Covid-19 has given the world unprecedented challenges, particularly so in the workplace. There has been a seismic shift in how we work and when we work, whether that is working from home or embracing a new normal in a socially distanced office. What is clear for many is that Covid-19 has been a prompt to re-evaluate their work life balance and look at different working opportunities. Becoming self-employed could be one of them.
Green economy risk reporting: a catalyst for change
The prime minister’s ten-point plan for a green recovery builds on last week’s announcement by the Chancellor Rishi Sunak of the UK’s intention to make climate disclosures mandatory for large companies and financial institutions by 2025. It is undoubtedly a positive step in the right direction and highlights how finance can impact the world far beyond the economy, but it will be critical to measure for success.
UK SMEs show resilience in the face of Covid-19
The coronavirus pandemic has caused large-scale disruption for individuals, businesses and societies as a whole. The UK is now facing its deepest recession in its history with job losses rising at the fastest rare since records began and the biggest rise in unemployment in over a decade. For many UK small and medium businesses (SMEs), this year has been the most difficult business environment they have ever known – so it is hard to blame them for feeling quite pessimistic about the future. But that’s precisely why the results of our Economic Recovery Survey into trading conditions for SMEs are interesting.
UK chancellor unveils further business support package
Chancellor of the Exchequer Rishi Sunak set out in a statement to MPs in the UK Parliament’s House of Commons on Thursday 22 October how the government is to provide further support for businesses hit by the coronavirus. The support includes grants for companies in the hospitality, accommodation, and leisure sectors in high-level alert areas as well as changes to the existing Job Support Scheme for all areas.
CIMA launches new online ethics tool on Global Ethics Day
The Chartered Institute of Management Accountants (CIMA), the world’s largest body of management accountants, has launched a new online ethics decision-making tool designed to help accounting and finance professionals make ethically sound decisions in tough situations. The tool’s launch is part of the Institute’s month-long campaign celebrating the UN Sustainable Development Goals, culminating today on Global Ethics Day.
The future UK-EU relationship on professional and business services
The Association were quoted twice in a report by the House of Lords EU Committee on the future of UK-EU relationship on professional and business services. We are pleased to see our points on mutual recognition of qualifications for accountants and regulatory cooperation were included in the report
We must support people to thrive in the new normal
Recent news that UK job losses rose at the fastest rate since records began, coupled with the biggest rise in unemployment in over a decade, show the devastating effects the pandemic has had on jobs and businesses. With further restrictions likely to be imposed over the winter months, we must brace ourselves for further disruption.
HMRC Job Retention Scheme Claims
The Coronavirus Job Retention Scheme (CJRS) closes on 31 October 2020 and we wanted to make sure you were aware that employers need to make any final claims on or before 30 November 2020. Employers will not be able to submit or add to any claims after this date – more guidance and support on CJRS is available on the link below.
Growth culture is key for recovery
The Government’s new measures to boost employment opportunities in the post-Covid-19 economy are to be welcomed, and will help transform our skills system for the better. However we must not solely focus on changing policies to be successful, we must also put great emphasis on changing employee’s mindset when it comes to addressing some of the systemic issues exacerbated by the pandemic (e.g. UK’s faltering productivity, widening skills gap and failing social mobility).
COVID-19: Employer support – live webinars
Changes to the Coronavirus Job Retention Scheme from 1 October mean that employers will need to fund 20% of furloughed employees’ usual wages for the hours they do not work and continue to pay their National Insurance and pension contributions. Make sure you have the latest information by joining the live webinar.
Chancellor’s Statement doesn't look far enough ahead
The Chancellor’s statement has missed an immediate opportunity to tackle the long-term challenges faced by the UK economy, which this crisis has only exacerbated. This will likely prove detrimental for businesses, people and the economy as we seek to recover from the COVID shock.
Business as unusual: how to prepare your business for the next normal
In the first half of the year, the world as we knew it has been turned upside down by COVID-19. As our new reality sinks in, we are still adjusting to new ways of doing things and pushed to redefine “normality” amid a global pandemic, from applying social distancing rules to dealing with the consequences of a rattled global economy.
Open letter to British Business Leaders
On Sunday 13 September, Andrew Harding FCMA, CGMA, CEO Management Accounting at The Association of International Certified Professional Accountants wrote an open letter in the Mail on Sunday
Turning tables on the UK public debt
The UK national debt has reached £2tn as government spending hit an all-time high amid the COVID-19 crisis. Ordinarily this would ring alarm bells, but now is the time for the government to be bullish and invest for long-term economic benefits.
Equipping our workforce for tomorrow’s recovery
The U.K. doesn’t have strong track-record when it comes to investing in skills, and higher-level skills in particular. This was a nagging issue long before the coronavirus pandemic hit, and it has now become an acute problem for UK businesses, which could hamper our country’s long-term recovery.
The UK faces a rocky road to economic recovery
The fact that our country has entered its deepest recession on record shows that we are still a long way off from economic recovery. Despite the Government’s efforts, we can no longer hope for a swift V-shaped recovery and must brace ourselves for the challenges ahead.
A tale of two economies
What’s really going on with the UK economy? The Bank of England has warned of a slow recovery from the Covid-19 crisis and predicted that GDP will not return to pre-pandemic levels until at least the end of 2021. It also expects unemployment to double before the year is out. A number of well-known businesses, including airline British Airways, restaurant chain Pizza Express and retailers WH Smith and Dixons Carphone, have already announced large-scale redundancies.
Targeted lockdowns call for targeted government support
As parts of the country are now experiencing new restrictions to manage local outbreaks and some businesses have been prevented from opening to help stop the spread of COVID-19, we must think about how such restrictions impact local businesses and how we can best support them to survive further disruption.
CIMA 20 Point Plan for Recovery
Samantha Louis, CGMA, Vice President International Advocacy and Andrew Harding, FCMA, CGMA, Chief Executive — MA of the Association of International Certified Professional Accountants discuss CIMA's 20-point plan for UK economic recovery
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What did UK CFOs think of the chancellor’s summer statement and what are their expectations for the Autumn Budget?
On Wednesday 8 July, Rishi Sunak MP, the Chancellor of the Exchequer, made a statement in which he outlined measures to support the UK economy through the first phase of recovery following the outbreak of Covid-19. Members of the UK CFO Forum, hosted by the Association of International Certified Professional Accountants, met following the Chancellor’s presentation. They shared perspectives on the recently announced measures, and what those would mean for their businesses and how the Autumn Budget could be used to address the structural problems that exist within the UK economy.
A4S essential guide to management information
Business performance is no longer solely judged in terms of financials. So, the way decisions are made, and the information upon which they are made, needs to change. That’s why A4S created a guide to support finance professionals to integrate social and environmental information into their core management information processes.
CJRS guidance updated
On 13 July new functionality was added to the CJRS service which will allow employers to delete a claim up to 72 hours after they have made it (i.e. if you have made a mistake). In support of this, a minor update has been made to this page of guidance to include some new wording flagging that this is an option available.
CIMA comments on Chancellor’s Financial Statement
CIMA welcomes the Chancellor’s Financial Statement. Measures such as additional funding for traineeships, money to fund apprenticeships and support for young job seekers via the Kickstart scheme will be essential to aid short-term recovery. However, we believe this statement does not go far enough to tackle the long-term challenges faced by the UK economy, which this crisis has only exacerbated.
Brexit update for CIMA members
On 19 May 2020, the UK Government published the draft legal texts underpinning its negotiating strategy in the ongoing talks between the United Kingdom and the European Union about a trade deal.
CIMA publishes recommendations for COVID-19 recovery strategy
CIMA has released a set of recommendations designed to support the UK Government to navigate challenges posed by the coronavirus pandemic, aid the country’s economic recovery and build business resilience to future crises. We are calling on the Government to focus on four key areas: providing businesses and consumers with confidence to invest and do business, providing businesses with certainty, creating a more sustainable business environment, and investing in skills to help generate economic growth and improve productivity.
Six UK government resources your business can use
The COVID-19 pandemic and its resulting shutdown of the economy has caught many UK businesses unprepared. If you manage a business, you’re probably in the difficult situation of trying to keep your cash flow positive while managing a variety of new risks — so the thought of ‘what happens to the business after coronavirus’ might not be on your mind right now. However, planning for your business’ post-crisis recovery is important to ensure its survival after the pandemic ends.
Podcast: Finding the productivity equilibrium - coming out of lockdown
How can you prepare your organisation for the post-pandemic world? Listen to the conversation to Andrew Harding’s conversation with Rolls-Royce’s Declan Guerin and Dr Stephanie Fitzgerald on striking the right balance as we come out of lockdown.
Three ways to help your business thrive in the new normal
We still don’t know how long this pandemic will impact global economies, and even once lockdowns are fully lifted there will be no going back to “business as usual”. With the OECD predicting the most severe recession in nearly a century, we can’t shy away from the need for change. A new reality is sinking in, one that is pushing companies of all sizes to think of new ways of doing business and adapt to a world that has changed forever.
Four measures to get businesses back on track amid the COVID-19 crisis
As the UK takes cautionary steps to get its economy moving again, businesses leaders must focus on keeping their organisations afloat in a changed, ever-evolving environment and prepare to face the headwinds of a second peak later in the year. Businesses need to focus on four key measures to outlast the impact of the crisis on their operations and people.
Covid-19: Five important questions that SMEs are asking of CIMA Members in Practice (MIPs), by Paul Turner, Regional Vice President UK & Ireland
The Covid-19 lockdown has created huge challenges for UK SMEs – especially businesses, such as retailers, that rely on face-to-face contact with consumers. At the start of April, research by The Corporate Finance Network suggested that nearly a fifth of SMEs might not survive the next four weeks.
First at-home CIMA exams will help students progress towards earning the CGMA designation and provide skilled talent to aid COVID-19 economic recovery
CIMA has delivered its first-ever at-home exams to students across the world, including the United Kingdom. This comes as the coronavirus outbreak forced test centres to close back in March, halting the studies of CIMA students and their progression towards earning the Chartered Global Management Accountant® (CGMA) designation.
Video: Update from the UK & Ireland's Regional Vice President
Hear from our Regional Vice President for UK & Ireland, Paul Turner, on the activity we've been undertaking to support members and students during the current health crisis.
CFO priorities amid the coronavirus crisis
Finance teams around the UK are wrestling with many challenges as a result of the COVID-19 pandemic. They face health and safety concerns, significant threats to cash and liquidity, supply chain disruption, and the large-scale shift to remote working. CIMA’s UK CFO Forum recently met by videoconference to swap perspectives on today’s business landscape.
National Insurance Number (NINO) - HMRC Update regarding the Job Retention Scheme
We understand that there have been some questions regarding National Insurance numbers and the Job Retention Scheme and therefore hope the below is a helpful update.
Podcast: COVID-19: From distilling spirits to making hand sanitiser
When BrewDog faced a 70% drop in revenue because customers could no longer visit its 102 bars worldwide, the Scottish brewer, distiller, and bar operator decided to switch from producing gin, vodka, and rum to making hand sanitiser. Ben Press, ACMA, CGMA, BrewDog’s retail finance manager, explains how the international company managed to change production quickly and how it plans to survive the economic impact of the coronavirus pandemic..
Job Retention Scheme date announced at Treasury Select Committee
HMRC’s Chief Executive Jim Harra and Director of Coronavirus Policy Co-ordination Cerys McDonald appeared in front of the Treasury Select Committee this morning, giving evidence on the economic impact of coronavirus. During this session, Jim announced that the Coronavirus Job Retention Scheme will be open for claim submissions in the week commencing 20 April.
We must provide more support to the UK’s smaller businesses and self-employed – or risk facing economic and social catastrophe
These are the hardest times that most UK businesses have ever faced. Businesses are simultaneously prioritising the safety and wellbeing of their staff and customers, while wrestling with unprecedented cash and liquidity challenges.
Six additional measures to support UK SMEs the Chancellor needs to consider in response to the coronavirus pandemic
Further to its letter to the Government on 23 March, CIMA wrote to the Chancellor on 1 April suggesting the adoption and rapid implementation of six additional measures to ensure that UK SMEs can remain afloat during these unprecedented times:
FCA proposes measures for consumer credit providers
UK regulator the Financial Conduct Authority is seeking rapid feedback on a series of proposed measures for lenders to help consumers of some credit products amid the current health and economic crisis. The measures relate to overdrafts, credit and store cards and catalogue credit, and personal loans.
CIMA to the UK Government: Help SMEs and self-employed through this pandemic
As great as the UK Government’s response has been so far, it doesn’t go far enough or fast enough to help. Sam Louis, Vice President, Advocacy, sets out the steps CIMA believe need to happen.
We must do more to support SMEs and kickstart our economy
We are greatly concerned about high-street banks’ interpretation of the Government’s Coronavirus Business Interruption Loan Scheme, which is designed to offer financial support to SMEs across the UK during the coronavirus outbreak.
More can be done to level the playing field for all workers
CIMA welcomes the Government’s plan to support the self-employed during the coronavirus pandemic. The Chancellor’s plan to offer a taxable grant of 80% of the average profits for the last three years, up to £2,500, is an unprecedented measure that will provide 5 million people with some much-needed relief. While we understand that the Government is navigating uncharted waters, we are concerned that delaying full support for the self-employed until beginning of June may be way too late for some.
It will take some time for the UK economy to recover, but preparing now will help us better navigate the future.
CIMA exams to move to remote testing from May 2020 in response to the coronavirus pandemic
On 27 March 2020, CIMA announced that students will be able to take their exams remotely for the first time from May 2020. This comes as the coronavirus pandemic has forced many test centres to close, preventing the delivery of CIMA Objective Tests and Case Study exams to students around the world.
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FRC guidance for companies and auditors during Covid-19 crisis
The Financial Conduct Authority (FCA), Financial Reporting Council (FRC) and Prudential Regulation Authority (PRA) have announced a series of actions to ensure that information continues to flow to investors and to support the continued functioning of the UK’s capital markets.
COVID-19: an update from the Pensions regulator
These are unprecedented, challenging and uncertain times for trustees, employers, administrators and, crucially, savers. As such there are different pressures on different areas of the pensions system. The Pensions regulators have therefore provided guidance for those they regulate and work with.
CIMA suggests five key things to help out the self-employed, sole traders and UK small businesses during the coronavirus pandemic
CIMA has called on the Government to further help the self-employed, sole traders, and small and micro U.K businesses hit by the growing coronavirus outbreak.
Business support - Government website launched
The Government is supporting businesses and their employees through a package of measures during this period of unprecedented disruption. This website helps you find the right support, advice and information to help with the impact of coronavirus (Covid-19) on your business.
Coronavirus (COVID-19): guidance for apprentices, employers, training providers, end-point assessment organisations and external quality assurance providers
This document sets out guidance for apprentices, employers, training providers and assessment organisations in response to the impact of COVID-19. It outlines the changes that the Education and Skills Funding Agency (ESFA) is making to the apprenticeship programme during the COVID-19 pandemic.
Non-Face to Face Client Verification - guidance for Members in Practice
Due to the impact of COVID-19 some members in practice have requested guidance from CIMA around the verification of clients on a non-face to face basis. The wellbeing of CIMA members at this time is our priority and we want to ensure that you are able to undertake work in a safe environment as much as possible.
UK’s economic response to COVID-19 pandemic takes shape
The details of the UK’s response to the economic fallout of the coronavirus pandemic continue to emerge, after Chancellor of the Exchequer Rishi Sunak announced “unprecedented” measures Friday.
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A guide to support measures for UK businesses affected by the coronavirus crisis
The UK Government made a series of announcements of wide-ranging measures on Tuesday, including tax cuts and grants, taken to tackle the outbreak to support struggling businesses and individuals.
The Financial Conduct Authority asks for companies to delay preliminary announcements for two weeks
On Saturday night, the UK’s financial regulator asked all companies listed on the London Stock Exchange to delay the publication of preliminary financial statements due to the coronavirus outbreak.