FRC Calls for Enhanced Reporting Quality Among UK’s Major Private Companies

FRC Calls for Enhanced Reporting Quality Among UK’s Major Private Companies

By Prathamesh 15 February, 2024

The Financial Reporting Council (FRC) has identified areas for improvement in reporting by the UK’s major private companies. The review, which covered 20 companies across various industries, highlighted a mixed quality of reporting, particularly in explaining complex or judgmental matters. The report emphasised the importance of clear and concise strategic report disclosures, aligning with financial statement disclosures.

It also criticised the use of generic language and boilerplate wording in describing policies for complex transactions. The FRC encouraged companies to provide more clarity on significant revenue streams, recognition timing, and revenue value determination. The review underscored the importance of clear, concise, and tailored reporting for private companies, especially as efforts are underway in the UK to harmonise approaches to mandatory digital reporting.

To find out more details please visit : https://www.frc.org.uk/