FEE (Fédération des Experts comptables Européens – Federation of European Accountants) further enhances its contribution to the debate on the crisis by releasing a policy statement on the crisis and sustainability.

FEE believes that the current financial crisis illustrates the failure of markets to acknowledge that short term thinking can lead to substantial legacy problems in the long term. There is a unique opportunity to adapt practices and policies that encourage this longer-term thinking and without which the European Union will not achieve its stated aim of being a pole of excellence on sustainability.

The FEE policy statement examines the sustainability issues at play during the current financial and economic crisis and suggests steps that can be taken to encourage the embedding of sustainability in business practice. Particular attention is paid to the implications of sustainability on financial reporting, corporate governance and assurance. The specific role of the accountant is also explored.

Hans van Damme, FEE President, emphasised that “The financial crisis has created widespread scepticism about whether and how business contributes to the wider interests of society. Businesses should use the crisis to take stock and re-evaluate current business models and practices, realigning them to take advantage of new sustainability opportunities including product innovation, new business and resources efficiency”.

Paul Druckman, Chairman of the FEE Sustainability Policy Group, underlined: “There are lessons to be learnt from the crisis in relation to management responsibility and accountability. These principles require high quality, reliable information including sustainability disclosures in order to allow shareholders and other stakeholders to assess the sustainability related risks and opportunities in the context of future developments”.

Nancy Kamp-Roelands, Chair of the FEE Sustainability Working Party, added that: “Organisations that are transparent on their sustainability practices need to be rewarded. Not only socially responsible investors but also mainstream investors must take sustainability issues into account when making investment decisions. In addition, it should be made easier for such organisations to obtain access to finance as a reward for sustainable behaviour”.

Accountants have a role to play in the future of business, including small businesses as appropriate, to ensure that organisations move forward into a more sustainable future. Accountants need to be fully informed about the issues of sustainability – carbon trading, the carbon-neutral economy, regulatory requirements and issues related to intangibles.