UK government publishes notice on "Accounting and audit if there’s no Brexit deal"
17 Oct 2018
The UK government has published a “no deal technical notice” on accounting and audit, setting out changes to the UK’s corporate reporting and audit frameworks if there is no deal between the UK and the EU over the terms of the UK’s exit from the European Union on 29 March 2019.
Many aspects of the UK framework regarding accounting will be unchanged. However:
- Certain exemptions for UK companies that are reliant on having a parent in the Europena Economic Area (EEA) will be restricted to companies with a UK incorporated parent.
- UK businesses operating in the EEA may need to register branches or places of business in the relevant EEA state and comply with that state’s overseas companies reporting regime.
- EEA businesses with a branch or place of business in the UK will need to comply with the UK overseas companies registration and reporting regime.
- UK companies admitted to trading on a regulated market in one of the remaining EEA member states may need to formally demonstrate compliance with International Financial Reporting Standards (IFRSs) as issued by the IASB.
The UK government is currently publishing a series of technical notices providing guidance on how to prepare for Brexit if there's no deal. The whole series can be accessed here. The notice on accounting and audit can be accessed here.
