COVID-19 resources

Many companies continue to face uncertainty about their prospects as a result of the on-going impact of the COVID-19 pandemic which continues to present a number of reporting challenges.  Although the FRC has highlighted that reporting in the face of the pandemic has not declined, it is still vital that companies continue to provide timely and high-quality reporting which reflects the ongoing uncertainties they face and their response to those uncertainties.

For many companies, their focus will have moved from the urgency of short-term survival to the development of longer-term resilience in the wake of COVID-19.  ESMA in its Common Enforcement Priorities, calls for companies to carefully assess the longer-term impacts of COVID-19 on their financial performance, position and cash flows.  It reiterates key messages from its previous Common Enforcement Priorities and highlights that it will continue to focus on how companies have considered the effects of COVID-19 in their reporting in particular on going concern assumptions, significant judgements, estimation uncertainty, presentation of financial statements and impairment of assets.  ESMA also reminds companies of its expectations with regards to disclosure in areas such as supplier finance arrangements and government assistance, the recognition of deferred tax assets, non-financial reporting and presentation of Alternative Performance Measures (APMs) in a COVID-19 environment.  

Like ESMA, in its upcoming monitoring of annual reports in 2021/22 the FRC will continue to focus on how companies are disclosing the financial reporting impacts of COVID-19.  In particular it will focus on the disclosure of judgements and estimation uncertainties arising from the continuing effects of the COVID-19 pandemic, particularly regarding matters such as going concern and liquidity.

In its Annual Review of Corporate Reporting it reminds companies of a number of key messages from its COVID-19 thematic review that 2021 reporters should continue to have regard to this reporting season.  Previous messages contained within other guidance such as the FRC’s Company Guidance COVID-19 and FRC Lab reports will also be relevant in highlighting FRC and investor expectations for reporting in the current uncertain environment.

This page includes our resources related to COVID-19.  It includes links to:

Related resources

UK Endorsement Board supports the IASB's proposed amendment to IFRS 16 and COVID 19

04 Mar, 2021

The UK Endorsement Board (UKEB) has issued its final comment letter on the International Accounting Standard Board's (IASB's) Exposure Draft ED/2021/2 'Covid-19-Related Rent Concessions Beyond 30 June 2021 (Proposed Amendments to IFRS 16)'.

Deloitte supports the IASB's proposal to extend the practical relief regarding COVID-19-related rent concessions

24 Feb, 2021

We have commented on IASB exposure draft ED/2021/2 'Covid-19-Related Rent Concessions beyond 30 June 2021 (Proposed amendment to IFRS 16)', which was published by the IASB on 11 February 2021. The exposure draft proposes to extend the May 2020 amendment that provides lessees with an exemption from assessing whether a COVID-19-related rent concession is a lease modification.

Deloitte comment letter on the IASB's proposal to extend the practical relief regarding COVID-19-related rent concessions

24 Feb, 2021

We support the extension of the availability of the practical expedient so that it applies to rent concessions that affect payments originally due on or before 30 June 2022 instead of 30 June 2021, for the reasons stated in the basis of conclusions on the exposure draft. We also agree with the proposed effective date and transition provisions.

FRC publishes its draft Strategy, Plan and Budget for 2021/22

23 Feb, 2021

The Financial Reporting Council (FRC) has published its draft Strategy, Plan and Budget for 2021/22. Comments are requested by 12 March 2021.

FRC Lab report on virtual and augmented reality

17 Feb, 2021

A new report from the Financial Reporting Lab of the Financial Reporting Council (FRC) considers how virtual and augmented reality are and might be used to expand the scope and audience for corporate reporting.

Need to know — IASB proposes amendment to IFRS 16 to extend the practical relief on rent concessions

15 Feb, 2021

This Need to know outlines the proposed amendment to IFRS 16 Leases set out in ED/2021/2 Covid-19-Related Rent Concessions beyond 30 June 2021, published by the International Accounting Standards Board (Board) in February 2021.

EFRAG draft comment letter on the IASB's proposed amendment to IFRS 16 and COVID 19

14 Feb, 2021

The European Financial Reporting Advisory Group (EFRAG) has issued a draft comment letter on the IASB's Exposure Draft ED/2021/2 'Covid-19-Related Rent Concessions Beyond 30 June 2021 (Proposed Amendments to IFRS 16)'.

IASB proposes extending the practical relief regarding COVID-19-related rent concessions

11 Feb, 2021

The International Accounting Standards Board (IASB) has published an exposure draft 'Covid-19-Related Rent Concessions beyond 30 June 2021 (Proposed amendment to IFRS 16)' that contains a proposed extension of the May 2020 amendment that provides lessees with an exemption from assessing whether a COVID-19-related rent concession is a lease modification. Comments are requested by 25 February 2021.

February 2021 IASB supplementary meeting notes posted

05 Feb, 2021

The IASB met via video conference on 4 February 2021 to discuss COVID-19-related rent concessions. We have posted our comprehensive Deloitte observer notes for this topic.

IASB will propose to extend practical relief on rent concessions

04 Feb, 2021

In a supplementary meeting held earlier today, the IASB discussed extending the practical relief in IFRS 16, which permits lessees not to assess whether particular rent concessions occurring as a direct consequence of the COVID-19 pandemic are lease modifications and, instead, to account for those rent concessions as if they were not lease modifications.

IVSC paper on challenges to market value

01 Feb, 2021

The International Valuation Standards Council (IVSC) has published a perspectives paper 'Challenges to Market Value' that looks at the challenges in relation to the availability of market information in a pandemic world.

Accounting roundup-January 2021

29 Jan, 2021

This accounting roundup, covering the period October 2020 through to December 2020, pulls together the headlines for all the latest developments in accounting, providing links to a wealth of further information and resources.

IASB announces supplementary meeting on COVID-19-related rent concessions

28 Jan, 2021

The IASB will hold a supplementary meeting via videoconference on 4 February 2021 to discuss whether to propose an extension to the practical relief period provided in the May 2020 amendments to IFRS 16 ‘Leases’ in relation to COVID-19-related rent concessions.

Joint regulators statement for companies, auditors and users of financial accounts on reporting timetables

27 Jan, 2021

The Financial Reporting Council (FRC) and the Financial Conduct Authority (FCA) have published a joint statement reminding companies that extended financial information timelines continue to apply in light of the continued disruption caused by the COVID-19 pandemic.

Need to know — IFRS Foundation publishes educational material on the requirements of IFRS Standards relevant for going concern assessment

21 Jan, 2021

This Need to know addresses the educational material Going concern – a focus on disclosure published by the IFRS Foundation in January 2021. The educational material, prepared as part of the IFRS Foundation’s commitment to support stakeholders during the COVID-19 pandemic, highlights existing requirements of IFRS Standards on the assessment of whether the going concern basis of accounting remains appropriate and the disclosures that might be required about that assessment.

Need to know — Accounting considerations related to the coronavirus 2019 disease for FRS 102 reporters

21 Jan, 2021

This Need to know discusses accounting considerations related to the Coronavirus 2019 disease for FRS 102 reporters.

CIPFA/LASAAC consult on changes to the Code of Practice on Local Authority Accounting in relation to accounting for secure housing tenancies and COVID-19-related rent concessions

19 Jan, 2021

The Chartered Institute of Public Finance and Accountancy (CIPFA) and the Local Authority (Scotland) Accounts Advisory Committee (LASAAC) are seeking comments on proposed changes to the Code of Practice on Local Authority Accounting in relation to accounting for secure housing tenancies and COVID-19-related rent concessions.

Educational material on going concern requirements

13 Jan, 2021

The IFRS Foundation has issued educational material, 'Going concern — a focus on disclosure', which intends to supports companies in its implementation of the requirements related to the preparation of financial statements using IFRS Standards on a going concern basis.

HM Treasury sets minimum financial reporting requirements for 2020-21

10 Jan, 2021

In response to the continuing pressures faced by departments and other government entities due to the impact of COVID-19, HM Treasury has taken the decision to reduce the financial reporting requirements for preparers of government annual reports and accounts for 2020-21. This follows reduced reporting requirements for 2019-20 previously issued.

FRC releases podcast reflecting on the FInancial Reporting Lab's work in 2020

08 Jan, 2021

The Financial Reporting Council (FRC) has released a podcast which reflects upon the work of the Financial Reporting Lab (the Lab) in 2020.

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