The long-awaited changes to company and LLP size thresholds and changes to the content of the Directors Report have now been confirmed. On 9 December 2024, The Companies (Accounts and Reports) (Amendment and Transitional Provision) Regulations 2024 (SI 2024 / 1303) were made (available here: https://bit.ly/40s4DZ5).
The changes set out in the Regulations are effective for accounting periods commencing on/after 6 April 2025, meaning that it will typically be 30 April 2026 year ends and onwards that are affected.
The new company size thresholds are as initially proposed, as follows:
Section 3 of the new Regulations confirms that when determining the size of a company, you apply the new criteria to the current year and/or to previous years as if the new criteria had always been in place, to assess whether two out of three criteria have been breached for two consecutive years.
These changes are discussed in more detail in our Quarter 1 Accounting and Audit Update, along with many other topics including:-
- Economic Crime update
- Financial Reporting – new FRC factsheets / annual review of corporate reporting / consultation on going concern guidance
- Audit – issue with revised Ethical Standard / reminder of the new ICAEW Audit regulations
- Specialist assignment updates
For firms that don’t take this ‘in-house’, this Update will be running as a live streamed course on 6 March and will be available on demand shortly thereafter. Please contact us to book your place (hat@hatgroup.co.uk)
