Auditing 2025: Amendments to ISA 570 Going Concern

This module will enable you to

• Define the concept of going concern and the auditor's responsibilities
• Identify possible indicators of material uncertainties
• Outline the significant changes to ISA 570 Going Concern and their impact on the auditor's report

About the module

In April 2025, the IAASB issued ISA 570 (Revised 2024) Going Concern, to respond to corporate failures that raised questions concerning the auditor's responsibilities. Recent high-profile collapses where auditors failed to raise issues around going concern include Carillion plc in 2018 and Silicon Valley Bank in 2023.

The revised standard significantly enhances the auditor's work in evaluating management's assessment of an entity's ability to continue as a going concern.

Going concern is a fundamental concept in the preparation of financial statements. So, in this update we review the concept, discuss conditions that might indicate that an entity has uncertainties relating to going concern, explore the changes to ISA 570 and explain how they will affect reporting in the financial statements.