FRC Launches Consultation on Draft Plan and Budget for 2026-27

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Published: 15 December 2025

The Financial Reporting Council (FRC) has today launched a consultation on its draft plan and budget for 2026-27 which sets out its priorities and resources for the year ahead.

Entering the second year of its three-year strategy, the FRC will maintain its focus on supporting UK economic growth whilst upholding high standards of corporate governance, corporate reporting, audit and actuarial work. The draft plan sets out how the FRC intends to deliver on its strategic priorities through core activities of standard-setting, supervision and enforcement.

Driven by the Government's mission to kickstart growth through burden reduction, the FRC will ensure its work remains proportionate, impactful, and provides an environment that supports growth in the UK economy. The draft plan includes five major projects designed to continue modernising the FRC's regulatory approach:

  1. End-to-End Enforcement (E2E) – reviewing and modernising our enforcement processes and procedures

  2. The Future Audit Supervision Strategy (FASS) – evolving our supervisory approach to support an environment that promotes system learning and a resilient audit market

  3. Enterprise Resource Planning (ERP) – future proofing our operational
    effectiveness by replacing and streamlining FRC systems, including Finance and HR

  4. Our programme of work to support Small-Medium Enterprises in the areas we regulate

  5. The FRC Innovation & Improvement Hub – advancing innovation, quality and market resilience, including Building Capability for Smaller Firms, to increase regulatory certainty for our stakeholders and promote outcomes-based regulation.

Overall budgeted headcount will remain flat for both the FRC and the UK Endorsement Board (UKEB), as it has in the previous two years. The combined budgeted cost of £74.4m for the FRC and the UKEB represents a 2.9% increase on the previous year, broadly in line with inflation.

"This draft plan demonstrates our commitment to proportionate, efficient and effective regulation that maintains high standards whilst supporting UK economic growth. Through our major projects, we're modernising our regulatory approach to deliver better outcomes for all stakeholders and we look forward to engaging with them on these proposals."

Richard Moriarty, FRC CEO,

The consultation on the FRC's draft plan and budget and the UKEB's draft strategy is open until 06 February 2026.

In our latest In-Conversation podcast, Kate O'Neill, Director of Stakeholder Engagement and Corporate Affairs, was joined by Vinita Hill, Chief Operating Officer, and George Horgan, Head of Strategic Planning and Delivery to discuss the priorities shaping the FRC’s work for the year ahead, the progress of its three year strategy for 2025-2028, and what stakeholders can expect from the consultation process.