Disciplinary Update 2026, Issue 6

Included within the latest published orders are the following:

Tribunals Committee tribunal order

• Plagiarism

  A provisional member submitted a Level 7 project report for assessment that incorporated another person’s unpublished work without appropriate acknowledgement.

Tribunals Committee settlement order

• Improper use of third-party material in a mock examination

  A provisional member submitted a mock examination that contained information from other parties.

Conduct Committee consent orders

• Compliance breaches

  A member failed to notify ICAEW of the formation of a sole trader firm within the required timeframe, failed to ensure the firm was supervised by an appropriate anti-money laundering supervisory authority, and engaged in public practice without the minimum level of professional indemnity insurance.
  
  AND

  Another member failed to notify ICAEW of their firm's formation within the time required, failed to ensure the firm was supervised by an appropriate anti-money laundering supervisory authority, and engaged in public practice without the minimum level of professional indemnity insurance.
  
  

• Audit deficiencies and auditor independence

  A firm issued audit opinions for an entity for three consecutive periods when the audits failed to comply with International Auditing Standard (UK) 500 ‘Audit evidence’ and/or International Auditing Standard (UK) 230 ‘Audit documentation’, and the financial statements were not compliant with FRS 102 in respect of key management personnel. In addition, one of the audit opinions issued was in respect of an audit that also failed to comply with International Auditing Standard (UK) 500 ‘Audit evidence’ and/or International Auditing Standard (UK) 230 ‘Audit documentation’ in respect of related party transactions.
  
  AND
  
  Another firm issued audit opinions for an entity across multiple periods when the audits failed to comply with International Auditing Standard (UK and Ireland)/(UK) 500 ‘Audit evidence’ in respect of income, expenditure and restricted funds. Additionally, the auditor failed to assess the threats to their objectivity and independence and apply safeguards to reduce the threats to an acceptable level where the engagement partner had long association with the audit.
  
  AND

  A member signed audit opinions for an entity over multiple periods when auditor independence requirements had not been adequately addressed. The member failed to assess the effectiveness of the available safeguards and failed to apply such safeguards to eliminate the threat of long association risk. The member also provided prohibited non-audit services while acting as auditor.
  
  AND
  
  A firm issued audit opinions for an entity over multiple periods when auditor independence requirements had not been adequately addressed as individuals connected to the firm held positions within a trust that had material financial interests in the audited entity.
  
  AND
  
  A firm issued an audit opinion when the audit failed to comply with International Standard on Auditing (UK) 500 ‘Audit evidence’ and/or International Standard on Auditing (UK) 200. Overall objectives of the independent auditor and the conduct of an audit in accordance with International Standards on Auditing (UK) as they failed to obtain sufficient and appropriate audit evidence and failed to plan and perform the audit with professional scepticism in respect of revenue and cost of sales.
  
  

• Use of AI-generated content in an apprenticeship assessment

  A provisional member submitted an apprenticeship activity paper to their training provider for assessment that incorporated material generated by artificial intelligence and represented it as their own work.
  
  

• Promotion of a tax avoidance scheme

  A member provided a tax planning report promoting a tax avoidance scheme.

Conduct Committee fixed penalty orders

• Compliance breaches 

  A member engaging in public practice without holding a practising certificate, engaged in public practice without the minimum level of professional indemnity insurance, failed to notify ICAEW of the practice’s formation, and failed to ensure their firm was supervised by an appropriate anti-money laundering supervisory authority.
  
  AND
  
  A member failed to notify ICAEW that their firm had started providing accountancy services, failed to ensure their firm was supervised by an appropriate anti-money laundering supervisory authority, and engaged in public practice without the minimum level of professional indemnity insurance.

Key themes

• Assessment misconduct, including plagiarism, lack of originality and inappropriate use of AI
• Practice compliance failures, including firm notification, anti-money laundering supervision, professional indemnity insurance and practising certificate requirements
• Audit quality and ethics shortcomings, including insufficient independence, objectivity, audit evidence, documentation and professional scepticism
• Tax planning conduct, including promotion of arrangements that do not align with professional and ethical standards

Further guidance and resources

Please make use of the following resources to ensure you are up to date with the latest regulatory information and news.

• Rising concerns with student misconduct in exams and assessments
• Qualifications regulations
• Practice Assurance Regulations
• Practising certificates
• Professional indemnity insurance
• Anti-money laundering supervision
• Audit Regulations and Guidance
  
• Professional scepticism
• Professional conduct in relation to taxation (PCRT) | Tax 
• Professional Conduct in Relation to Taxation: a tax perspective on ethics
• ICAEW training films
• ICAEW Ethics hub
• ICAEW’s Regulation hub
• Disciplinary Bye-laws

Further details can be found on our Disciplinary Database or please visit our Public Hearings page.