Brexit and financial reporting
UK companies preparing accounts for 2019 and early 2020 will need to consider how Brexit will affect the numbers and disclosures required.
Reporting in times of uncertainty
UK businesses will be in the process of considering how Brexit will impact their business and taking appropriate actions. At the financial reporting year end the nature of any deal (or the possibility of no deal) between the UK and EU may be unclear, and the potential impact hard to quantify. By the time the accounts are finalised, there may be greater clarity around the deal UK’s position with the EU and it’s the potential impact on the business.
In this guide we look at the typical areas in the accounts that would be affected in times of uncertainty, the need to provide for additional costs, and the extent to which companies should take account of additional information that comes to light after the balance sheet date. We also look at the disclosures required and those that might be useful to provide, particularly for those applying FRS 102 Section 1A Small Entities.
A range of other Brexit related resources is available in our Brexit hub.