Alasdair Steele considers the FRC's proposed new
integrated guidance on risk management and reporting which was
published for comment last month.
Introduction
In September 2011, the Financial Reporting Council
("FRC") published a report, "Boards and Risk: A
summary of discussion with companies, investors and advisers",
which prefaced a review of the "Internal Control: Revised
Guidance for Directors on the Combined Code" ("the
Turnbull Guidance"). This started in January 2013 and led to a
reviewed approach which was announced in June 2013. In November
2013, the FRC published the results of its review of the Turnbull
Guidance and a consultation on proposed new guidance ("the
guidance"). The FRC is proposing to integrate the Turnbull
Guidance and its 2009 guidance on going concern and liquidity risk
into one, with a view to drawing a distinction between the use of
the phrase "going concern" in the context of financial
reporting and assessing a company's viability as
