The Future of Corporate Reporting and Assurance

Financial reporting is at a crossroads. There are a number of reasons for this:

• A new financial reporting framework for 'medium sized entities' is to be introduced
• IFRS and US GAAP are converging and could, potentially, become one framework, based on IFRS
• IFRS has 'bedded down' amongst publicly owned companies
• There have been questions raised over the part played by IFRS in the current crisis in the financial markets.

At the same time, the impact of the financial crisis, which began in 2008, has resulted in the purpose and value of the traditional statutory audit being called into question by regulators and investors. Partially as a consequence of this, major investigations are underway, both in the UK and worldwide, into the regulation and structure of the audit profession.
Our views and thoughts on the future of corporate and assurance are outlined in our attached publication, where we seek to consider financial reporting and assurance together. Whilst we believe research is required, in order to stimulate the debate we put forward concrete and practical suggestions as to how these issues can be dealt with, and paint a picture of how the future of financial reporting and assurance might look. Our governing principles in so doing have been those of simplicity and transparency.

The Future of Corporate Reporting and Assurance