A national accountancy firm has warned accounting fees could rise across the industry this year as a skills shortage is compounded by the extra hours that accounts are working to comply with new global standards.
Fees rose 20 per cent last year following the implementation of the International Financial Reporting Standards (IFRS), AccountantsRus chief executive Adrian Raftery said.
“”With the new IFRS financials we are already finding that accountants are racking up a lot more hours on the clock this year than in previous years,” he said.
“We are already starting to see a similar situation to the introduction of the GST, where a number of older accountants are starting to retire rather than bothering to learn the new legislation. They just aren’t interested,” Raftery said.
“This increased cost will ultimately need to be borne by the client.”
IFRS came into effect in Australia in 2005 as it did in Europe. The International Accounting Standards Board has given other countries until 2009 to make the switch.
Raftery, who manages a network of 62 accounting practices, said those countries yet to implement the standards will lure experienced Australian accountants overseas, worsening the country’s skills shortage.
Recruitment firm Robert Half International managing director Nigel Barcham said corporate governance and compliance have increased the need for accountants but other trends include finance professionals leaving Australia to work in the larger markets of the UK and Asia.
The Australian Bureau of Statistics reported that 1500 accounts left Australia seeking long term employment overseas last year.
