Accountancy firms lag behind law firms with DEI initiatives, says report

Accountancy firms are currently less active than law firms when it comes to running diversity, equity and inclusion (DEI) initiatives, according to the latest report from iResearch Services. 

The report, ‘A Fairer Future: Equality and Inclusion in Professional Services’, recorded the views of 570 leaders across the UK, 31% of which being in accountancy and 22% being law firms. 

iResearch found that only 73% of accountancy firms surveyed have run a specific DEI initiative across their company in the past six months, in comparison to 86% of legal firms. 

While 73% of professional services firms have a formal DEI policy in place, 8% still have nothing at all. Meanwhile, 66% of professional services firms say that they support employees disclosing their disabilities, but only 31% are running initiatives to support those with disabilities. 

The research found that race and ethnicity draw the biggest focus when it comes to DEI across the professions at 35%, with only 12% of firms focused on LGBTQ+ policies. 

In addition, it found that accountancy firms are also lagging behind in measuring the success of their DEI programs. However, the report found that accountancy firms remain more proactive at running initiatives and measuring their programs than other sectors in professional services, including architecture firms and consultancies.

The research also highlighted how industry bodies within accounting are helping to drive positive attitudes around diversity and inclusion, with the ICAEW collecting diversity data from probate firms. 

Rachael Kinsella, editor in chief at iResearch Services, said: “The world of accountancy revolves around numbers, facts, and the right data. Accountancy firms are trusted business advisors to companies of all shapes and sizes across regulatory requirements, corporate governance, and financial reporting so it is surprising to see that this approach is not being carried across when it comes to measuring the success of internal DEI initiatives.

“As we start a new year, firms across all areas of professional services need to take a fresh look at how they are evaluating their diversity and inclusion programs. This will enable them to see whether the time, money and effort that goes into these initiatives are well spent, reflective of their workforce, and most importantly, if they are having a real positive impact on employees across all levels of the business.”