He is expected to take up the role in spring 2024 and will succeed Izza, who has been chief executive of ICAEW since 2006. Izza will remain until Vallance’s arrival to ensure a smooth transition.

Vallance, an ICAEW chartered accountant, has a background running membership organisations and originally trained as an auditor at EY in London.

Since August 2022, he has been chief executive of the Chartered Insurance Institute, which has 122,000 members representing the insurance and financial planning profession. Previously he was chief executive at the Royal Institute of British Architects (RIBA) for six years.

He takes over the top job at ICAEW at a time when the accountancy profession is under pressure to improve standards across audit as a series of scandals have hit the largest audit firms, which have been given multimillion pound fines for misconduct and sub-standard audit performance following the collapse of a number of major listed companies, including Carillion, Thomas Cook and Patisserie Valerie.

There is also an acute skills shortage with audit hit particularly hard and attempts to improve diversity have also been slow to materialise. Another factor is continuing consolidation across the profession with the challenges of dealing with an ageing profile of accountants with 40% of ICAEW members aged 45 or over, according to the latest FRC Key Facts and Trends. This makes succession planning at firms increasingly important.

Commenting on his appointment, Vallance said: ‘The accountancy profession today plays a vitally important leadership role on the key issues facing society. I am determined to make sure that ICAEW leads from the front and that this role continues, indeed evolves in the future, with an unwavering focus on the public interest so that our members play their rightful part in building a world of sustainable economies.’

The appointment follows an open and extensive recruitment process for the role, which attracts a six-figure salary. The latest annual accounts showed that Izza earned £630,000 including deferred variable pay in 2022. 

Mark Rhys, ICAEW president and chair of the recruitment panel, said: ‘Alan was the outstanding choice to take up the role. He has a track record of leading successful membership organisations and working alongside different stakeholders. We were impressed with his vision for the Institute and for the evolution of the profession, his focus on values and the role ICAEW can continue to play as it looks to its 150th anniversary in 2030.’

Izza will retire in the spring and has not yet announced whether he will remain in the profession in any capacity.

Izza said: ‘It has been a huge privilege to lead ICAEW through the last 17 years of accelerating change in business, the economy and society.

‘Our touchstone has always been the public interest, and I passionately believe in the accountancy profession as a force for good in national life and the wider world. I am therefore delighted that Alan has been appointed as my successor and I know that the vision and the energy he brings to this role will ensure that ICAEW does not rest on its laurels.’

Rhys added: ‘I would also like to take this opportunity to thank Michael for his leadership of the Institute and tremendous contribution to the wider profession. The changes he has led to ICAEW’s strategy and structure since he became chief executive in 2006 leave us well placed for future success.’