Local Authorities
The CIPFA/LASAAC Local Authority SORP Board is taking forward a programme of work on developing and implementing a new IFRS-based Code of Practice that will allow local authorities to prepare IFRS based accounts from 1 April 2010. The SORP Board has also approved a proposal for the Code of Practice to move away from the ASB SORP regime to a FRAB-linked governance framework from 2010-11.
CIPFA has issued two consultation papers on local authority reporting.
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Back to Basics is a first principles review of local authority financial statements that aims to produce statements of account that are "fit for purpose" in the 21st century.
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Telling the Whole Story is a fundamental review of external stakeholder reporting in local government that goes beyond financial reporting.
Copies of both consultation documents are available on the CIPFA website and comments are requested by 31 July.
Charities
The Charity Commission published in June 2008 an updated second edition of the Charities SORP 2005 that takes into account changes made by the Charities Act 2006, the Charities and Trustees Investment (Scotland) Act 2005 and applicable regulations. This new edition also includes a new introduction aimed at smaller charities. The accounting requirements remain unchanged; hence the update has not been through the formal ASB review process.
The Charity Commission and the Office of the Scottish Charity Regulator, as the joint SORP making body for the charity sector, hosted a Stakeholder Forum in central London on 25 April. This initiated sector debate on issues affecting development of the next SORP, including the impact of the ASB's convergence agenda. Further events, aimed at building upon the issues debated at the Stakeholder Forum, will be held at a number of locations throughout the United Kingdom over the next twelve months.
Investment trusts
The Association of Investment Companies (AIC) has issued an exposure draft of a revision of its SORP for investment trust companies, for comment by 17 October. The principal change is to extend the scope to include venture capital trusts.
