FRC Annual Report highlights continued progress in improving standards of audit, financial and corporate reporting to support UK corporate growth
News types: Publications
Published: 24 July 2024
The Financial Reporting Council (FRC) has today published its Annual Report and Accounts for 2023/24. The report underscores the FRC’s ongoing commitment to improving audit quality and corporate reporting in the UK while adapting to evolving market needs and protecting stakeholders in the public interest.
This year’s report showcases the FRC’s proactive approach to using its regulatory toolkit to drive improvements in audit quality and corporate reporting. Key highlights include:
- Completing a major consultation on the UK Corporate Governance Code, engaging with over 5,000 stakeholders to ensure proportionate and targeted regulation.
- Launching a review of the UK Stewardship Code to drive the right stewardship behaviours, enabling UK corporates to access capital and deliver growth. Good stewardship supports the global investment management industry to deliver better outcomes for their beneficiaries – UK savers and pension holders .
- Enhancing audit quality through targeted initiatives, including developing approaches to support smaller audit firms in taking on larger and more complex clients.
- Preparing to take on the role of shadow system leader for local audit, working with system partners to tackle the backlog in local audit.
- Establishing a significant presence in Birmingham though our new office, supporting regional growth and accessing a new talent pool outside London and the South East.
- Using our current regulatory tools effectively and proportionately while continuing to advocate for modernised powers and a statutory footing for the organisation.
Richard Moriarty, CEO, said:
"This year's report demonstrates the FRC's focus on smart, proportionate, and targeted regulation that balances high standards with supporting UK economic growth and competitiveness across our broad remit and stakeholder ecosystem.
Our proactive approach and increased stakeholder engagement are enabling us to make significant advances in shaping proportionate corporate reporting and governance. As we look ahead, we remain committed to our public interest purpose, continuous improvement, and enhancing stakeholder trust and confidence in our ability to deliver on that purpose.”
The FRC continues its journey of transition, with a clear vision for the future of audit and corporate reporting in the UK, while actively contributing to the country's economic growth and international competitiveness.