Narrative Reporting – The Next Steps

In March 2012 the Department for Business, Innovation and Skills (BIS) published the Government response to its consultation on the future of narrative reporting (see our January 2012 update).¹  

As outlined in the consultation paper² , the Government will introduce a new structure for narrative reporting, replacing the directors' report and the business review with:

• a strategic report providing an overview of the company's key strategic information; and
• an annual director's statement providing more detailed information in a more closely prescribed format including the directors' remuneration report (which will be split into two sections as outlined in the Government's consultation on executive pay (see Enhanced shareholder voting rights in respect of executive pay), the corporate governance statement and the audit committee report.