Grasping the application of UK GAAP in practical situations can be complex. To help you, we've put together these illustrative example financial statements in accordance with FRS 102 (January 2022) and the Companies Act 2006.
The example financial statements are based on a fictitious UK company: a large, privately-owned parent of a global group, and are designed to be relevant to a range of sectors. We’ve made choices on the activities, transactions, and balances to include, as well as the accounting and presentation policies to apply, taking into account the flexibility provided by the requirements.
The illustrative example financial statements are detailed, but not exhaustive and may not include all disclosures needed for all scenarios. Preparing an annual report and financial statements requires tailoring to specific circumstances. The example financial statements apply the versions of FRS 102 and the Companies Act 2006 that are mandatorily effective for the year ending 31 December 2024, except as noted below, and do not reflect any new developments post-publication.
On 27 March 2024, the FRC issued Amendments to FRS 102, following the second ‘triennial review’ of the Standard. The amendments mainly apply to financial periods starting on or after 1 January 2026, although early adoption is allowed. The example financial statements don’t ‘early adopt’ the amendments, other than new disclosures about supplier finance arrangements (mandatorily effective for years beginning on or after 1 January 2025, but early-adopted here). They do, however, include a brief summary of the main changes relating to revenue, leases, and fair value.
While we’ve exercised care in producing these illustrative example financial statements, it’s important to note that they complement, not substitute, the applicable reporting framework, in this case FRS 102 and company law.
If you need further support on applying these requirements to your own transactions and circumstances, an independent adviser may be a good solution.
Annual report and financial statements for the year ended 31 December 2024
2024 amendments to FRS 102
A summary of key changes in FRS 102, in three sections
A. Sections with fundamental changes
B. Sections with incremental improvements
C. Sections with minor clarifications
Find out more about the amendments [ 4944 kb ]
You can use this information to easily identify the most relevant updates and prioritise your next steps.
2024 hot topics for FRS 102 reporters
In this flyer you'll find targeted information that includes discussions on the latest significant issues and their potential effects on the annual report and financial statements.
Stay informed on FRS [ 825 kb ]
Illustrative accounts archive
You can find all our examples of illustrative accounts for previous years here.
For more insight and guidance, get in touch with Chris Smith.
