Recap of 2025
As we come to the close of 2025, it’s appropriate to reflect on key articles and updates communicated throughout the year. In this article, we identify key takeaways and focus areas for 2026.
Articles
The following topics were addressed in the monthly articles issued during 2025:
| Updates to requirements | Audit quality findings | Practical application guidance |
| Changes in SAICA Training Regulations
(January) |
Bending the Rules
(February) |
Proactive Audit Quality: A Continuous Improvement Approach under ISQM 1
(March) |
| Audit of Body Corporates and Homeowners’ Associations
(April) |
Professional Scepticism [Business rationale for significant transactions (journal entries)]
(May) |
|
| Overview of the IFRS for SMEs Accounting Standard 2025 Update
(June) |
Verification of Financial Statement Presentation and Disclosures (August) | |
| Going concern
(July) |
Successfully Completing an EQR
(October) |
|
| Upcoming Changes in ISA 240 (Revised): What Auditors Need to Know (September) | The Impact of IFRS 19
(November) |
Latest Updates
Key updates communicated, apart from those addressed in the articles listed above, include the following:
| Auditing | Ethics | Compliance | Accounting |
| SAAPS 3 (Revised Sept 2025) – Illustrative Reports
(September) |
IESBA 2024/2025 Handbook
(October) |
IRBA Enforcement & Inspections Report (Apr 2025)
(April) |
IASB updates IFRS Accounting Standards for Nature-dependent Electricity Contracts
(January) |
| EAR Rule – Example Audit Reports
(April) |
King V (2025)
(November) |
FSCA Conduct Standard 2 of 2025 (RF) – Conditions Prescribed in Respect of Pension Fund Benefit Administrators (Conduct Standard)
(August) |
IFRS 19 – Subsidiaries without Public Accountability (updated Aug 2025)
(August) |
| IAASB Announces Withdrawal of ISAE 3410, Assurance Engagements on Greenhouse Gas Statements
(May) |
Revisions to the IRBA Code of Professional Conduct for Registered Auditors Addressing Tax Planning and Related Services (January) | The FIC Guidance Note 7A (February) | IASB Issues Amendments for Translating Financial Information into Hyperinflationary Currencies
(November) |
| IAASB Publishes New Resources to Support ISSA 5000 Adoption and Implementation
(August) |
Compulsory Automation of Trust Interest Receipts (July) | ||
| IRBA 2024 Public Inspections Report (issued Apr 2025)
(April) |
|||
| IAASB Adopts New Publicly Traded Entity Definition (September) |
Key Takeaways
2025 introduced major changes across auditing, accounting, ethics and compliance, requiring firms to update methodologies and strengthen quality management for 2026.
- ISA 240 (Revised) increased fraud responsibilities and documentation.
- ISA 570 (Revised 2024) enhanced going-concern assessments and disclosures.
- ISSA 5000 introduced the first global sustainability assurance standard.
- IFRS for SMEs updates changed measurement and disclosure requirements.
- New publicly traded entity definition resulting in narrow-scope amendments to the ISQMs, ISAs and ISRE 2400 (Revised).
- EAR Rule implementation resulted in updated illustrative reports in SAAPS 3.
These updates will directly affect planning, risk assessment and reporting.
- Inspection results showed recurring deficiencies requiring strong root-cause analysis, monitored remedial actions and improved leadership oversight.
- The IRBA Public Inspections Report expected in 2026 will guide further QM improvements.
- Regulators issued practical support: IRBA guidance on sector-specific audits, modified opinions, technology and JSE reporting. In addition, LEAF provided updated templates and training, which reduce misinterpretation and enhance consistency.
- Ethical and governance expectations increased through IESBA, IRBA and FSCA updates, and King V developments, with regulators intensifying scrutiny and documentation requirements. Firms must strengthen policies, training and monitoring.
- Key accounting changes included IFRS 19 for subsidiaries without public accountability, hyperinflationary translation amendments, and guidance on nature-dependent electricity contracts. These aim to improve clarity and comparability.
- Emerging priorities include building sustainability assurance competence and improving the assessment of digital evidence, cybersecurity risks and technology reliance.
Firms should start developing capacity and updating methodologies now.
Conclusion
2025 introduced significant shifts across auditing, accounting, ethics and compliance. To ensure high-quality audits in 2026, firms must stay ahead of technical changes, embed proactive quality management and leverage practical guidance. Early preparation and consistent implementation will be key to delivering robust and compliant audits.
References
1. IFRS 19, Subsidiaries without public accountability: Disclosures
2. IASB press release (August 2025), Amendments to IFRS 19
3. SAICA standard summary, IFRS 19 – Subsidiaries without public accountability: Disclosures
Latest Updates
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