In the meeting, the SEC voted to finalise the proposed rule published in March 2022. According to a fact sheet posted by the SEC, the final rules will require a registrant to disclose, among other things:

• material climate-related risks;
• activities to mitigate or adapt to such risks;
• information about the registrant's board of directors' oversight of climate-related risks and management’s role in managing material climate-related risks; and
• information on any climate-related targets or goals that are material to the registrant's business, results of operations, or financial condition.

In a major change to the proposed rule, the SEC has decided to remove the requirement to disclose Scope 3 greenhouse gas (GHG) emissions and only require disclosure of Scope 1 and/or Scope 2 GHG emissions on a phased-in basis by certain larger registrants when those emissions are material.

The final rules will become effective 60 days after publication in the Federal Register, and compliance will be phased in from 2025 to 2033.

For more information, please see the following:

• Press release, text of the final rule and fact sheet, as well as statements by SEC Chair Gary Gensler and Commissioners Caroline A. Crenshaw, Jaime Lizárraga, Hester M. Peirce and Mark T. Uyeda on the SEC website
• Deloitte's Need to know - SEC adopts rule that requires climate-related disclosures

The full agenda for the meeting can be found here. We will post any updates to the agenda, our comprehensive pre-meeting summaries, as well as observer notes from the meeting on this page as they become available.

A summary of the agenda is set out below:

Agenda papers for the meeting are available on the IFRS Foun­da­tion website.

Day 1 of the conference will feature:

• speeches by the Chairs of the IASB and the ISSB;
• a guest keynote address;
• a joint IASB and ISSB update; and
• a first round of breakout sessions.

Day 2 will feature:

• an introduction to IFRS 18 Presentation and Disclosure in Financial Statements;
• a second round of breakout sessions;
• a third round of breakout sessions; and
• an interactive Q&A session with leaders from the IASB and the ISSB.

Breakout sessions to choose from will include:

• Insights into the adoption strategy for the ISSB Standards;
• Consistent application of IFRS Accounting Standards: hot topics;
• Financial instruments update;
• Business combinations — Disclosures, goodwill and impairment;
• IFRS 18 Presentation and Disclosure in Financial Statements;
• Implementation of IFRS S1 and IFRS S2; and
• the ISSB’s work plan.

Please click for more information on the conference page on the IFRS Foundation website.

The MB was informed of the ongoing activities of the IFRS Foundation and reiterated its expectations on:

• connectivity between the financial statements and sustainability-related disclosures, while ensuring mutual independence and balanced resource allocation for the standard-setting process;
• further exploration of effective functioning of the multi-location model to maximise the potentials of the two boards under the leadership of the Trustees of the IFRS Foundation; and
• stable and diversified funding to support the work of the two boards.

In addition, the MB recognised the efforts made by the IFRS Foundation to support the implementation of the ISSB standards and welcomed the consideration of the strategic direction of each board.

The MB also emphasised that a robust due process is the 'core function' of the IFRS Foundation and encouraged continued efforts in this area.

Please click to access the full report on the IOSCO website.

The decision by the Trustees ensures continuity and stability in the leadership of the organization as it continues to develop and implement accounting standards for global capital markets. The reappointment follows a period of transformative change within the IFRS Foundation, marked by the creation of the ISSB and the consolidation of various reporting bodies under its umbrella.

For more information, see the press release on the IFRS Foundation's website.

The series on perspectives papers is now as follows:

• The Case for Realigning Reporting Standards with Modern Value Creation (September 2021)
• Human Capital Introspective (June 2022)
• Rethinking Brand Value (September 2022)
• Deciphering Technology (July 2023)
• Data and Valuation (March 2024)

The new paper can be accessed through the press release on the IVSC website.

Local authorities in the United Kingdom are required to keep their accounts in accordance with 'proper practices'. This includes, for the purposes of local government legislation, compliance with the terms of the Code prepared by the CIPFA/LASAAC Local Authority Accounting Code Board (CIPFA/LASAAC).

There is a significant backlog in local authorities financial reporting and audit in England and the government are undertaking a number of measures to try to address the issue.  The proposals to the Code are to aid the recovery of local authority reporting and audit as set out by the Department for Levelling Up, Housing and Communities (DLUHC) and other system partners in February 2024.  

CIPFA/LASAAC are proposing short-term England-only changes that will affect the 2023/24 and 2024/25 Codes, as follows:

• an option to simplify measurement of operational property plant and equipment using specified indexation, and
• reduced disclosures for pensions reporting, by aligning that reporting with FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland.

Comments are requested by 28 March 2024.

CIPFA/LASAAC will also be consulting, later in 2024, on measures that will help local authorities in the longer term.  As part of this CIPFA/LASAAC is planning to consult on proposals affecting the Code for 2025/26 which will encompass:

• extending the application of the temporary solution for infrastructure assets beyond 2024/25;
• proposals for the measurement of operational property, plant and equipment which will further explore simplifying requirements; and
• proposals for more proportionate reporting on pensions in local authority financial statements.

The invitation to comment and the exposure draft containing proposed changes can be found within the press release on the CIPFA website.

Following discussions held during the January 2024 IASB meeting, the board tentatively decided to introduce an expected credit loss model for SMEs engaged in providing financing to customers as one of their primary businesses, while SMEs not involved in financing will continue using the incurred loss model. 

Participation is open to accounting practitioners involved in SMEs' financial statement preparation and users of SMEs' financial statements. Volunteers will be asked to complete a questionnaire and engage in discussions with the SMEs project team to share insights. The aim is to have questionnaires and follow-up discussions completed by the end of April 2024. 

For more information, see the press release on the IFRS Foundation's website.

The technical explanations comprise of 12 items and are grouped in chapters according to their nature (cross-cutting, environment, social and other). 

The explanations are provided as part of EFRAG's role as technical advisor to the European Commission to provide a practical and timely support for preparers and others in the implementation of ESRSs. They have been added to the ESRS Q&A platform launched in October 2023 that entities can use to submit ESRS implementation questions to EFRAG.

To facilitate accessibility, EFRAG plans to publish at the end of each quarter a collection of all explanations published during the quarter.

For more information, including access to the technical explanations and the Q&A platform, please see the press release on the EFRAG website. 

The first set of technical explanations is available here.