The accountancy industry is bucking historic trends for continuing professional developments (CPD).
Traditional patterns of behaviour show that there are those accountants who like to complete their learning early, those who schedule regular training throughout the year and those who cram at the last minute. Normally by the end of August every year, at least 50 percent of our members have completed more than 75 percent of their annual CPD requirements, and 25 percent have undertaken at least 50 percent. Not this year though; in what can only be described as an unprecedented year of chaos, 2020 has also had a significant impact on CPD uptake.
There is no criticism intended here, but it is a statement of fact that coronavirus has put a spanner in the works – particularly for those who prefer to attend onsite courses – and more accountants than ever are at risk of not completing their annual CPD requirements. It might not seem like much, but as well as failing to meet the obligations set out by your professional body, you’re also missing out on relevant and timely knowledge that is more important than ever in helping you face the challenges of a changing economic climate.
It seems the biggest challenge our industry needs to overcome is an overriding attitude of measuring CPD as a ‘cost’ to the business. Time out, effort and money are all attributed as business costs, but considering CPD in this way when you are under more pressure than ever makes it appear to be the less favourable option. This is why CPD curves have fallen behind this year, a trend which is misguided and doesn’t quantify the fundamental benefits of undertaking CPD.
CPD is a tool which accountants should be exploiting to gain competitive advantage, stay legally compliant, improve knowledge and efficiency and provide better advice to clients. It is a very cost and time effective way of getting to grips with a changing landscape and an opportunity to learn from the expertise of others in order to further your own understanding. This in turn can benefit your business and clients for an arguably minimal investment.
We are in a period of unprecedented agile working and technology adoption coupled with the ramifications of ever-changing pandemic support. At a time when clients are leaning on you more than ever for advice, CPD is primed to support you, making you more knowledgeable, less liable to make errors and more efficient with your time and output. That surely feels like a win.
As we near the final quarter of the year there’s still plenty of time to catch up, but those gains will only happen if we prioritise our own development over the course of the next few months. The fantastic news is that not only have you been adapting, but training has too, with more verifiable CPD sources available online in bitesize modules. In fact, of those members who are already investing in their learning, many are embracing digital having previously preferred face-to-face courses and workshops over online training. Feedback has been positive. Ongoing online learning is supporting businesses, without the burden of extra time out of the office for travel and, of course, subsistence expenses.
Many will still not be convinced of the advantages of CPD at a time like this. Perhaps instead of viewing it in terms of cost and benefit, there is merit in considering it in terms of risk.
We are not in normal times and are not dealing with normal legislation or requirements, which means that accountants are having to quickly upskill in order to meet client demand for advice. Largely speaking let us hope this advice will be correct and legitimate, but there is always a risk that something is lost in translation, or that mistakes are made that will ultimately reflect on your business.
HMRC has already started pursuing and prosecuting fraud relating to the recovery support schemes, including a business in the West Midlands who committed furlough fraud to the tune of £495,000. Naturally, you can argue that it isn’t the accountant who committed the fraud, but how long will it be before the first cases emerge where accountants are anecdotally blamed, whether they provided the right advice or not? CPD provides the opportunity to ensure your advice is sound and your knowledge is robust, helping to reduce your risk as a business.
As a professional body, we set an annual CPD requirement for all members of 40 hours per annum, made up of at least 50 percent but preferably 75 percent verifiable sources. We consider CPD an essential part of running a business. It’s about maintaining competence in every aspect of the services you offer to clients and plays an essential role in retaining repeat customers and attracting new clients, not to mention being a mandatory requirement of your professional body.
Resources & Whitepapers
The fantastic thing about 2020 is that organisations like us have developed highly relevant, accessible courses and webinars, which are specifically designed to support and enhance accountants’ skills and knowledge in the coming months. Our own training portfolio for example now includes a webinar series on “Bounce back: planning for the changes to come” with six different speakers covering recent changes including fraud, employment law, changes in insolvency legislation, and fatigue and resilience – all of which are relevant to practices and individuals grappling with the realities of the ‘new normal’. There are also IFA Direct modules that can help, such as 104 Credit management and control and 208 Business finance which are running for six weeks from November 9 to December 18, 2020.
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