PROPOSALS to merge the three main bodies in the accountancy profession have received a lukewarm reception from Bolton accountants.

Three of the leading UK accountancy organisations announced plans for strategic consolidation last week, claiming that the plans would deliver broader and deeper member services, provide increased influence across industry and Government and ensure the long term future of the profession for the next generation of chartered accountants.

The proposals aim to bring together the Chartered Institute of Management Accountants (CIMA), the Chartered Institute of Public Finance and Accountancy (CIPFA) and the Institute of Chartered Accountants in England and Wales (ICAEW) to create an organisation with 200,000 members and a significant student base across a wide number of countries. The new body will aim to unify the business, practice and public sectors and become the authoritative voice across the accountancy profession.

According to the announcement, existing members of all three bodies will be entitled to keep their current designatory letters and titles. Individual routes to qualification will be preserved during the post-consolidation transition, and any future changes to these qualifications would maintain the same high standards of entry and would be subject to a three-quarter majority of the Governing Council of the new body.

But according to Mark Worsley, the managing partner of CLB Chartered Accountants in Chorley New Road, Bolton, support for the move is far from universal.

"There have been a number of serious attempts in the last ten years to consolidate the various accountancy bodies, none of which have been successful," he said.

"In a recent accountancy press survey, there was a slight majority vote in favour of merger, however looking behind the numbers, over two thirds of ICAEW members were against a merger whilst the vast majority of members from CIMA and CIPFA favoured the merger."

Strategic consolidation has so far received an "in principle" yes from each of the governing councils of the three Institutes. Formal proposals will be put to councils in December with resolutions expected to be put to the members of all three bodies early to mid 2005. Subject to a positive mandate, permission will then be sought for a new Royal Charter.

Mr Worsley argued that there is still work to be done.

"More communication is needed to highlight the long term benefits for members and the future of the profession to ensure that this is not another attempt doomed for failure. Differing standards of education is perceived by some to be a major issue.

The strength of feeling will run extremely high on this debate and it is difficult to see at this stage a cohesive solution.

"Consolidation is an excellent idea as long as it enhances the strengths of all three bodies, assures the highest possible standards and speaks for members interests on a global scale."

A statement on behalf of the the three professional bodies said: "Government and industry need a single body with whom they can engage. A strategic amalgamation of the type proposed will produce a powerful new organisation working in the public interest with an unrivalled breadth and depth of technical expertise, enabling powerful thought leadership on business, professional and regulatory issues, as well as the highest professional standards."

Mr Worsley said: "The final say will be with the members of the respective bodies. However, based on past experience, the ICAEW have a lot of work to do to convince members that this is the correct way forward."

"It will also mean enhanced status and a more powerful resource for members, as the benefits of consolidation are unlocked, leading to improved support as well as stronger national and international influence."

Mr Worsley said: "The final say will be with the members of the respective bodies. However, based on past experience, the ICAEW have a lot of work to do to convince members that this is the correct way forward."