Financial Reporting: FRC Report On Developments In Clear And Concise Narrative Reporting

On 17 December 2015, the FRC issued a report entitled "Clear & Concise: Developments in Narrative Reporting." The report focuses on the steps that companies have taken to achieve clear and concise reporting where annual reports provide relevant and easily understandable information for investors. The report highlights emerging best practice in narrative reporting and offers investor and company perspectives on processes that aid improvements in annual reports.

The report focuses on three areas:

• Clear and concise reporting – The FRC includes a description of what this term means and how companies can aim to achieve it;
• Impact of the strategic report – The FRC states that strategy reporting provides useful insights into how a company is managed. The report generally finds that the overall quality of corporate reporting has been improved by the use of the strategic report although opportunities for further improvement still exist (for example, there is scope for