Financial Reporting Council or FRC meaning

ARCHIVED : This archived Checklist outlines the principal reporting obligations for quoted companies with accounting periods commencing before 1 January 2019, under the Companies Act 2006, the Listing Rules, the Disclosure Guidance and Transparency Rules, and the 2016 edition of the UK Corporate Governance Code... It references rules, provisions and definitions that may have been repealed or altered, including legislation and regulation that applied before the UK left the European Union... For a maintained Checklist summarising the reporting requirements for quoted companies with accounting periods beginning on or after 1 January 2019, see Checklist: Annual report and accounts (quoted companies)—checklist—accounting periods on or after 1 January 2019... For periods beginning before 1 January 2019, this Checklist draws on the following sources: Companies Act 2006 (CA 2006) and the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, SI 2008/410 (Large and Medium-sized Companies Regulations) Listing Rules (LRs) Disclosure Guidance and Transparency Rules (DTRs) UK Corporate Governance Code (UKCG...

In this issue: Market Standards Accounts and reports Economic Crime and Corporate Transparency Equity capital markets Daily and weekly news alerts New and updated content Dates for your diary Trackers Useful information Market Standards Market Standards Trend Report—Ethnicity pay gap 2023 The report examines how FTSE 350 companies have handled voluntary ethnicity pay gap disclosures, drawing out frequent pitfalls and the key difficulties encountered when reporting on ethnicity pay gaps. See Corporate Analysis: Market Standards Trend Report—Ethnicity pay gap 2023. Accounts and reports FRC publishes review of reporting by the UK’s largest private companies The Financial Reporting Council (FRC) has released its review of reporting by the UK’s largest private companies. It found the overall standard to be uneven, depending on how clearly organisations explained complex or material matters. See: LNB News 01/02/2024 88. Economic Crime and Corporate Transparency Economic Crime and Corporate Transparency Act 2023 (Consequential, Supplementary and...

In this issue: Company law, governance and regulatory matters New content Useful information Dates for your diary Weekly highlights from other practice areas Company law, governance and regulatory matters FRC updates guidance on UK Corporate Governance Code in relation to remuneration The Financial Reporting Council has revised the section of its UK Corporate Governance Code guidance covering non-executive directors’ remuneration to clarify the position on share-based pay for NEDs. The Code itself is unchanged, but the guidance underscores that the existing ‘Comply or Explain’ principle gives companies latitude when designing NED fee arrangements; nevertheless, performance-related pay for NEDs remains unacceptable. These changes follow last month’s HM Treasury announcement—within its Regulation Action Plan—that the FRC would update its guidance to confirm that paying NEDs in shares is appropriate (see News Analysis: Share Incentives weekly highlights—23 October 2025—Company law, governance and regulatory matters). The update explains how boards can shape NED remuneration, acknowledging that companies may encourage NEDs to build...

In this issue: Corporate governance Financial services regulation LexTalk®Corporate: a Lexis®Nexis community Daily and weekly news alerts New and updated content Dates for your diary Trackers Useful information Corporate governance FRC publishes guidance supporting the UK Corporate Governance Code 2024 The Financial Reporting Council (FRC) has issued refreshed guidance to help companies apply the UK Corporate Governance Code 2024 (the Code). While not a formal component of the Code, it seeks to assist firms in adopting the updated provisions by providing additional advice, detail and illustrations. Instead of prescribing compulsory steps, the guidance is designed to promote collaborative dialogue and decision-making so organisations can embed the Code’s principles effectively... The 2024 Code applies to financial periods starting on or after 1 January 2025, except provision 29 (concerning the obligation for a board statement on internal controls), which takes effect for periods commencing on or after 1 January 2026. See: LNB News 29/01/2024 20... ...

The UK Corporate Governance Code (UKCG Code) Issued by the Financial Reporting Council (FRC), the UK Corporate Governance Code sets out benchmarks of good practice for board leadership and effectiveness, remuneration, accountability, and how companies engage with their shareholders. The Code applies to companies with a listing of equity shares in the equity shares (commercial companies) category, irrespective of whether they are incorporated in the UK or elsewhere, although other companies may choose, on a voluntary basis, to adopt some or all of its provisions. Under the Financial Conduct Authority’s UK Listing Rules (UKLR), all companies with a listing of equity shares in the equity shares (commercial companies) category must either comply with the provisions of the UKCG Code or set out in their next annual report to shareholders the reasons for any departure from it—reflecting the ‘comply or explain’ principle. For a broad overview of the Code’s application, purpose and provisions, see Practice Note: The UK Corporate Governance Code...

The UK Corporate Governance Code (UKCG Code), issued and overseen by the Financial Reporting Council (FRC), is the yardstick for effective governance of companies with equity shares listed in the equity shares (commercial companies) category. The UKCG Code requires these companies to create an audit committee and sets out recommendations covering its make-up, remit and duties. This Practice Note explores those obligations alongside other regulatory provisions and recognised best practice. For commentary, guidance, analysis and materials on the audit committee aspects of the UKCG Code, see Resource Note: UK Corporate Governance Code—Section 4—Audit, risk and internal control. Composition of the audit committee Role of the audit committee Responsibilities of the audit committee Regulatory framework UK Corporate Governance Code The UKCG Code applies to companies with a listing of equity shares in the equity shares (commercial companies) category, whether incorporated in the UK or elsewhere. The FRC also publishes accompanying Corporate Governance Code Guidance. For general information on the application, purpose and...

Observing good practice in relation to the remuneration of a company’s directors is an important aspect of corporate governance. At the heart of the UK’s governance framework sits the UK Corporate Governance Code (UKCG Code), a key pillar of the corporate governance regime in the UK. The Financial Reporting Council (FRC) oversees the Code and issues supporting guidance to accompany and supplement it. To satisfy specific UK Listing Rules (UKLRs), any issuer with equity shares admitted to the equity shares (commercial companies) category, or to the closed-ended investment funds category, must apply the Code’s principles and, in its annual report and accounts, either comply with each provision or explain any departures on a comply or explain basis. Beyond this, numerous other companies voluntarily adopt the Code’s principles and follow the comply‑or‑explain approach under its provisions, even though they are not obliged to do so, and may alternatively select a different governance code that better fits their circumstances where appropriate (see Practice Note: The corporate governance regime—fundamentals). The...