Amendments to FRS 101 and 102 remove requirements to notify shareholders

FRS 101 Reduced Disclosure Framework is an optional standard available to qualifying entities and is intended to enable cost-effective financial reporting within groups, particularly those applying EU-adopted IFRS in their consolidated financial statements. Similarly, the reduced disclosures available to qualifying entities in FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland are also intended to provide a cost-effective benefit.

The amendments, finalised by the FRC in December 2016, remove the requirement for a qualifying entity to notify its shareholders in writing that it intends to take advantage of the disclosure exemptions in FRS 101 or FRS 102, as applicable.

The effective date for these amendments to both FRS 102 and FRS 101 is for accounting periods beginning on or after 1 January 2016.

ICAEW's response to the earlier consultation can be viewed here. A feedback statement from the FRC is also available, this notes that, although the requirement for notifying shareholders has been removed, the financial statements of a qualifying entity will continue to provide information about the disclosure exemptions taken. 

Further resources on both FRS 101 and FRS 102 can be found at These include links to the standards, FAQs, helpsheets, webinar recordings and factsheets, and compendiums of Practicewire articles for 2014, 2015 and 2016

Information on the new standards is also available to members via the Library’s subject gateways, and ICAEW’s Technical Enquiry Service has produced a range of helpsheets and guidance.