British qualified accountants
Recognised bodies for restricted work
Recognised bodies for restricted work
-------------------------------------

### Audit of limited companies

It is illegal for any individual or firm that is not a **Registered Auditor** to perform an audit of a UK limited company. To become a Registered Auditor, an accountant must hold a practising certificate from a recognised body, demonstrate the necessary professional ability in that area, and submit to regular inspection.

Certain bodies, known under the Companies Acts 1989 and 2006 as **Recognised Qualifying Bodies** (**RQBs**), award the qualifications necessary for audit work, as an entry requirement. A similar but not identical list of **Recognised Supervisory Bodies** (**RSBs**) may authorise their members to carry out company audits.

The six RQBs in relation to company auditing under the Companies Acts are:[Current RSBs and RQBs](http://www.frc.org.uk/Our-Work/Conduct/Professional-oversight/Oversight-of-Audit/Recognition-of-Recognised-Supervisory-Bodies-and-R/Current-RSBs-and-RQBs.aspx), [Financial Reporting Council](/wiki/Financial_Reporting_Council "Financial Reporting Council")

* [Association of Chartered Certified Accountants](/wiki/Association_of_Chartered_Certified_Accountants "Association of Chartered Certified Accountants") (ACCA)
* [Association of International Accountants](/wiki/Association_of_International_Accountants "Association of International Accountants") (AIA)
* [Chartered Accountants Ireland](/wiki/Chartered_Accountants_Ireland "Chartered Accountants Ireland") (CAI)
* [Institute of Chartered Accountants in England and Wales](/wiki/Institute_of_Chartered_Accountants_in_England_and_Wales "Institute of Chartered Accountants in England and Wales") (ICAEW)
* [Institute of Chartered Accountants of Scotland](/wiki/Institute_of_Chartered_Accountants_of_Scotland "Institute of Chartered Accountants of Scotland") (ICAS)
* [Chartered Institute of Public Finance and Accountancy](/wiki/CIPFA "CIPFA") (CIPFA) since 2006 but currently in abeyance

The AIA and CIPFA are not RSBs; their members, if engaging in audit, must therefore be supervised by another body.
The [Association of Authorised Public Accountants](/wiki/Association_of_Authorised_Public_Accountants "Association of Authorised Public Accountants") (AAPA) has the status of RSB, historically under a [grandfather clause](/wiki/Grandfather_clause "Grandfather clause") in order to supervise individuals who had been authorised for audit purposes under the Companies Act 1948\. 

RQBs and RSBs are self\-regulated but monitored by the [Professional Oversight Board](/wiki/Professional_Oversight_Board "Professional Oversight Board") (POB), part of the [Financial Reporting Council](/wiki/Financial_Reporting_Council "Financial Reporting Council") (FRC), to support public confidence.[Professional Oversight Board](http://www.frc.org.uk/pob/) 

Under the [European Union](/wiki/European_Union "European Union")'s [Mutual Recognition Directive](/wiki/European_professional_qualification_directives "European professional qualification directives"), all British accountants with practising rights and belonging to a RQB/RSB can practice as a public accountants in all member countries of the [European Union](/wiki/European_Union "European Union"), [European Economic Area](/wiki/European_Economic_Area "European Economic Area") and [Switzerland](/wiki/Switzerland "Switzerland"), providing that they are citizens of one of these states. They can describe themselves only by their own accountancy qualification rather than the local professional accountant qualification; access to the local professional qualifications is based on an aptitude test.

Various other national bodies have [mutual recognition agreements](/wiki/Mutual_recognition_agreement "Mutual recognition agreement") with most British RQBs. For example, in Hong Kong, members of RQBs excluding CIPFA are accredited by [HKICPA](/wiki/Hong_Kong_Institute_of_Certified_Public_Accountants "Hong Kong Institute of Certified Public Accountants") and therefore licensed under the Professional Accountants Ordinance with 'absolute equal status' to local CPAs.

### Insolvency and investment business work

Under the Companies Act, Insolvency Act \& Financial Services and Markets Act, only the [ACCA](/wiki/Association_of_Chartered_Certified_Accountants "Association of Chartered Certified Accountants"), [ICAEW](/wiki/ICAEW "ICAEW"), [CAI](/wiki/Chartered_Accountants_Ireland "Chartered Accountants Ireland") and [ICAS](/wiki/Institute_of_Chartered_Accountants_of_Scotland "Institute of Chartered Accountants of Scotland") are able to authorise members to conduct all the legally restricted work of [insolvency](/wiki/Insolvency "Insolvency") and 'investment business work' in the United Kingdom.


How does the status of RQB/RSB affect an accountant's practising rights?