Brexit Corporate Update - February 20, 2020

Author:Ms Julie Farley, Roddy Martin, Gareth Sykes and Stephen Wilkinson
Profession:Herbert Smith Freehills

The Financial Reporting Council (FRC) and Department for Business, Energy and Industrial Strategy (BEIS) have published joint letters for auditors and accountants with information in relation to auditing and accounting and corporate reporting standards during the transition period following the UK's exit from the EU.

In relation to accounting and reporting, the letter confirms that there is no change to the UK's accounting and corporate reporting framework during the transition period. For financial years which begin during the transition period, UK listed companies will continue to use EU-adopted IAS. For financial years beginning after 31 December 2020, UK incorporated companies and groups that currently use EU-adopted international accounting standards will instead be required to prepare accounts using UK-adopted international accounting standards. The letter also discusses issues...

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