The Financial Reporting Lab (Lab) has three major projects underway; they have made the following progress on their initiatives:
- Digital Future: Structured experience - Following our recent report on AI (PDF), and the blockchain, (PDF) the next phase of the Digital Future project is looking at the impact of Augmented Reality, Virtual Reality and Video on the preparation and use of corporate reporting. If you have a particular interest in this project, please contact Thomas Toomes-Smith via email@example.com.
Reporting on stakeholders and Section 172 disclosures - With the changes to the UK Corporate Governance Code and the new requirement to include a Section 172 statement in strategic reports in 2020, there has been a focus on how companies are reporting on their stakeholders. In response, the Lab launched a new project in July 2020 which will consider the usefulness to investors of disclosures about stakeholders, including the section 172 statement, across a range of reporting formats.
The Lab expects to issue a short report or infographic providing tips and useful information identified in the first stage of the project which will focus specifically on the Section 172 statement. A full report on all aspects of stakeholder reporting, which will include practical guidance and examples will follow in 2021. If you have a particular interest in this project, please see the Call for participants or contact Marie Claire Tabone via firstname.lastname@example.org.
- Reporting on risks, uncertainties and scenarios - Investors and other stakeholders are increasingly looking for information from companies about how they will evolve, adapt and respond to changes in the external business environment. Given the current level of uncertainty in the business environment this project, launched by the Lab in September 2020, will focus on the reporting of risks, uncertainties and scenarios and consider what users want from these disclosures.
A full report which will include practical guidance and examples will follow in 2021. If you have a particular interest in this project, please see the Call for participants or contact Andrew Hyland via email@example.com.