Report finds UK companies facing extra compliance burden
Deloitte today published a report revealing the impact that pending changes to corporate interim reporting will have on UK companies. The report – The half-time results: Reviewing and revising corporate interim reporting – includes guidance and model accounts to assist companies in reporting under the new requirements.
Isobel Sharp, partner at Deloitte, commented: “The EU’s Transparency Directive, while watered down from its earlier drafts, and international accounting standard IAS 34 Interim Financial Reporting will result in significant reporting changes for UK companies.
“Although increased transparency is always an important consideration, these changes will undoubtedly lead to an extra compliance burden on UK listed companies. Our survey into current reporting practices reveals 79% of companies are not currently reporting as frequently as they will be required to do.”
Major changes to corporate interim reporting include:
Companies will be required to produce at least two “interim management statements” and this will be an increased burden for companies that do not already produce either monthly or quarterly reports (only 21% of those surveyed produce them currently).
The Transparency Directive will require half yearly results to be published within two months of the period end.