The FRC is today publishing a discussion paper ‘Thinking about financial reporting disclosures in a broader context’. The paper aims to improve the quality of financial reporting disclosures.
The paper sets out a road map for a disclosure framework for financial reporting aimed at improving the quality of disclosure and their value to the users. In particular, the paper covers the reduction of clutter in financial reports by avoiding duplication in disclosures and using tests of materiality more rigorously.
A copy of the discussion paper can be obtained here
. The consultation period closes on 31 January 2013.
This publication of this paper builds on the FRC’s work with the Autorité des normes Comptables and the European Financial Reporting Advisory Group (EFRAG) to develop a disclosure framework for the notes to the financial statements.
Roger Marshall, Director of the FRC, said,
“We believe that there is a need to curtail the piecemeal approach to disclosures and develop a coherent framework for disclosures in the financial report. We anticipate that this will lead to disclosures in financial reports being more relevant to the needs of the users of those financial reports whilst at the same time cutting clutter”.
This paper contributes to the FRC’s work on influencing the development of International Financial Reporting Standards.
Notes to editors:
The FRC is responsible for promoting high quality corporate governance and reporting to foster investment. We set the UK Corporate Governance and Stewardship Codes as well as UK standards for accounting, auditing and actuarial work. We represent UK interests in international standard-setting. We also monitor and take action to promote the quality of corporate reporting and auditing. We operate independent disciplinary arrangements for accountants and actuaries; and oversee the regulatory activities of the accountancy and actuarial professional bodies.
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