The politics of restructuring the standard setting bodies: the case of the UK’s auditing practices board

Abstract

This paper seeks to shed some light on the politics relating to the formation of the Auditing Practices Board (APB), a body responsible for formulating auditing standards in the UK. The evidence is provided from the author’s personal involvement in and around some of the arenas that shaped the formation of the APB. The paper argues that formation of the APB was facilitated by an alliance involving the state, the auditing industry and the accountancy bodies. To appease the challengers, the accountancy bodies made some concessions and broadened the membership of the APB, but the auditing standard setting process remained under the control of the accountancy bodies.