The Financial Reporting Council (FRC) has published guidance for companies preparing their annual report and accounts (ARA) as part of its “What Makes a Good” publication series.

The FRC focuses on two core themes which it believes underpin a good ARA:

  • Corporate reporting principles – These are the principles that the FRC says that issuers should follow when producing an ARA. They include accuracy, completeness, transparency and timeliness; and
  • Effective communication principles – In order to help investors identify relevant information and understand the linkages between the different parts of the ARA, the FRC says that disclosures should be company-specific, clear and concise, clutter-free and comparable.

The guidance also considers the overarching concept of materiality, which the FRC describes as the “bedrock of corporate reporting“.

The FRC intends that the principles should be applicable whatever a company’s size or listing status, and regardless of which GAAP are applied.

Heidi Gallagher
Heidi Gallagher
+44 20 7466 2367

Isobel Hoyle
Isobel Hoyle
+44 20 7466 2725

Ben Ward
Ben Ward
+44 20 7466 2093