Use fines for good, Institute of Chartered


The accountancy trade body faces an “obvious conflict of interest” for collecting fines levied for misconduct by its members and should use the pot of at least £127 million to improve financial education, campaigners and academics have said.

The Institute of Chartered Accountants in England and Wales (ICAEW) has been under increasing scrutiny over an arrangement called the Accountancy Scheme, in which the professional body pockets fines that result from investigations by the Financial Reporting Council, the regulator.

While the institute also covers the upfront costs of these inquiries, if the investigation results in a sanction then a big proportion of these expenses are reimbursed by the firm at fault.

A report by Sheffield University and the Corporate Accountability Network said “the obvious conflict of

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