In response to stakeholder feedback, the UK Financial Reporting Council (FRC) amended FRS 102 to provide companies with an updated framework when adapting the formats of their balance sheets and profit-and-loss accounts in annual reports and accounts.
The “fit-for-purpose” amendments aim to maintain alignment with the presentation requirements of IFRS, following the introduction of IFRS 18, Presentation and Disclosure in Financial Statements, a news release said.
Concurrently, after additional considerations from stakeholders, the FRC made limited clarifications to the Periodic Review 2024 amendments, relating to both FRS 102 and FRS 105.
Entities that do not choose to adapt their financial statement formats under FRS 102 will not be impacted by these amendments, the release said.
The amendments are effective for accounting periods beginning on or after 1 January 2027.
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