Three sets of regulations, laid before Parliament on 15 August 2005, extend the option to prepare and distribute summary financial statements from listed companies to all companies that have had their accounts audited. They also ensure that companies preparing their accounts in accordance with International Financial Reporting Standards can continue to use summary financial statements.
In addition, these regulations make a number of other minor amendments concerning voluntary revision of the Operating and Financial Review and Directors' Remuneration Report, the requirements for adjustment and disclosure of corresponding amounts and the distribution provisions as they apply to investment companies.
The regulations also include certain limited simplifications for specific categories of small company.
These changes are mainly consequential on the introduction of International Financial Reporting Standards and other regulatory developments. They are deregulatory and are expected to have only a minor impact on most companies, but will provide important clarification and additional flexibility for those companies that are affected.
The regulations come into force on 1 October 2005 (with the exception of the changes for small financial services companies, which come into force on 5 September 2005).
Copies are available from: www.dti.gov.uk/