The Profession of Accountancy in England: The Public, the Government, and the Profession.

Abstract The article focuses on the progression of accountancy in England. The English accountant is called upon to maintain during his professional career two sets of relationships. First, are those relationships, which are concerned with the accountant's immediate client with whom he comes in direct contact and by whom the accountant is hired. Such relationships are based upon contract and must consider the statutory provisions, which exist in reference to the audit. Second, there are intangible relationships, which involve indirect clients, those individuals whose presence is not disclosed to the auditor when he is preparing his statements and reports but of whose identity, at least as members of a class, he is aware. Direct clients include sole traders, partnerships and limited companies as well as all types of organizations, which according to English Law must submit their accounts to independent examination by auditors. Indirect clients encompass a much wider range of individuals, as they will include readers of financial statements and reports, potential investors, bankers, creditors, the public and the Government.