FRC proposes narrow scope amendments to the CASS rules
Released 01 August 2019
The consultation is open for just over 8 weeks, and aims to continue improvements in the audit market.
The Client Asset Assurance Standard (CASS) which was first released in 2015, sets the requirements for auditors who are required to report to the Financial Conduct Authority on an entity’s compliance with the CASS Rules.
‘•reflect regulatory changes to the scope of the CASS regime;
•changes to improve the value of reporting to those charged with governance; and
•some streamlining to requirements.’
Specifically, Rule 137, previously Rule 141, is amended to provide the auditor of a small CASS registered firm to utilise professional judgment when assessing the effective segregation of client assets.
The effective date for the revision to the CASS standard is periods commencing 1 January 2020, with early-adoption being permitted.