Welcome to this week’s Technical Roundup.
In developments this week, the European Financial Reporting Advisory Group have issued a feedback statement summarising the main comments received by them on its discussion paper- Accounting for Crypto-Assets (Liabilities) and the Financial Reporting Council are inviting stakeholders to attend a webinar to learn more about the work of the newly formed International Sustainability Standards Board (ISSB) and its first two proposed standards.
Read more on these and other developments that may be of interest to members below.
Financial Reporting
The FRC Lab have published their first insight into current market issues. This publication explores questions about supply chain risks and reporting.
The European Financial Reporting Advisory Group (EFRAG) have issued a feedback statement summarising the main comments received by them on its discussion paper- Accounting for Crypto-Assets (Liabilities).
EFRAG have issued feedback statements in relation to its recent comment letters on IASB Exposure Drafts ED/2021/9- Non Current Liabilities with Covenants and ED/2021/10 Supplier Finance Arrangements.
EFRAG have also issued an updated Endorsement Status Report as well as their April 2022 update.
The IFRS Foundation have issued their April 2022 monthly news summary and IASB April 2022 update.
Sustainability
EFRAG has launched a public consultation on the Draft ESRS Exposure Drafts (EDs) developed by the EFRAG PTF-ESRS. The consultation period will run until 8 August 2022.
The International Sustainability Standards Board (ISSB) held two live webinars at the end of April for all stakeholders on its proposed standards on general sustainability-related disclosures and climate-related disclosures, the recordings of which are available online.
The FRC are also inviting stakeholders to attend a webinar to learn more about the work of the newly formed International Sustainability Standards Board (ISSB) and its first two proposed standards.
Anti-Money Laundering and Sanctions
On 4 May the European Commission President announced a sixth package of sanctions against Russia. The package is still to be agreed and details known to date are the sanctioning of high-ranking military officers and other individuals who committed war crimes, the exclusion from SWIFT of Sberbank and two other major banks, a ban on three Russian state-owned broadcasters from EU airwaves and a ban on Russian oil. This will be a complete import ban on all Russian oil, seaborne and pipeline, crude and refined. Further detailed information will when available be updated for members on the Institute’s dedicated sanctions page.
IFAC, together with the ICAEW, have released their latest instalment in its Anti-Money Laundering: The Basics educational series: Instalment Nine: Tools to Fight Back. The publication is part of a series helping accountants enhance their understanding of how money laundering works, the risks they face, and what they can do to mitigate these risks and make a positive contribution to the public interest. Instalment nine examines the tools professional accountants have at their disposal to address money laundering once it’s suspected.
Other Areas of Interest
The FCA are consulting on rules which will allow Authorised Fund Managers to create separate unit classes (side pockets) for retail investment funds affected by the invasion of Ukraine. It says that the Russian invasion of Ukraine has resulted in some investments becoming illiquid or untradeable. You can access the consultation document here and feedback on the proposals should be given on the online response form by Monday, 16 May 2022.
Last week we reported that the European Data Protection supervisor (EDPS) recently published his Annual Report 2021. This week the EPDS issued its monthly newsletter which includes information on the EPDS conference in June, a joint opinion on the extension of the EU Digital COVID Certificate Regulation and issuance of a reprimand to the European Border and Coast Guard Agency (Frontex) for moving to the cloud without proper data protection assessment. You can access the newsletter here.
The Summer 2022 Legislation Programme has been published recently by Government Chief Whip Jack Chambers. Among the priority legislation is a Work -life balance bill the heads of which are in preparation. The Assisted Decision Making Capacity (Amendment) Bill, Right to Request Remote Work Bill and Central Bank (Individual Accountability Framework) Bill all of which heads have been approved, are also on the priority list. Others which may be of interest are the Cyber Security Bill and the Cybercrime Bill and ones which have been in previous programmes are referenced: the Co-operative Societies Bill, Limited Partnership Bill and Charities (Amendment) Bill.
The Government has recently published the general scheme of the Charities (Amendment) Bill 2022. The Bill proposes to update existing charity law to improve the ability of the Charities Regulator to conduct its statutory functions and ensure greater public trust and confidence in the sector. It will also deal with other matters such as clarification on the general duties of trustees and strengthening the Regulator’s powers in relation to the protection of charitable organisations. You can read the press release from the Minister at the Dept of Rural and Community Development and download the general scheme of the Bill here.
Charities Act (Northern Ireland) 2022: Chief Executive of the Charity Commission for Northern Ireland, Frances McCandless, gives a brief overview of the impact of the new Charities Act (Northern Ireland) 2022 in the first of a series of vlogs (opens in YouTube): https://youtu.be/IXvok54YJ3U
The Dept. of Enterprise Trade and Employment (DETE) has invited expressions of Interest for appointment as Ministerial Nominees to the Company Law Review Group. The CLRG is a statutory advisory expert body charged with advising the Minister for Enterprise, Trade and Employment on the review and development of company law in Ireland. CLRG members have expertise and an interest in the development of company law, including practitioners (the legal profession and accountants). You can read details of the expressions of Interest here and the closing time and date is 3pm on Thursday, 19 May 2022.
DETE has also published its monthly newsletter which is available here and includes details of the recently published Consumer Rights Bill 2022.
The Government is in the process for the nomination of a person to be appointed as President of the High Court. The current President, the Hon Ms Justice Mary Irvine, is due to retire in July 2022. A non-statutory Advisory Committee will be established to assist with identifying eligible and qualified persons, including serving judges, for the post of President of the High Court. It will consider their suitability and make recommendations to the Minister for Justice on preferred candidates.
The EU Commission has made a proposal for a new EU initiative, the Single Market Emergency Instrument (SMEI) to enable the EU to respond quickly to emergencies and crises (such as a public health crisis or a natural disaster) that threatens the functioning of the single market. It is holding a public consultation with a deadline of 11 May 2022 for responses. You can read more about the SMEI here.
For further technical information and updates please visit the Technical Hub on the Institute website.