FRC Publishes Priorities and Funding for 2012/13
The Financial Reporting Council (FRC) has published its priorities and funding plans for 2012/13. The “Plan & Budget 2012/13” is on the FRC website at http://www.frc.org.uk/about/plans.cfm.
Announcing the Plan & Budget, the FRC Chairman, Baroness Hogg, said: “As we emphasised during the consultation on reforms to our powers and structure, to be effective we must maintain a dialogue with those who are interested in our work. The FRC is and will remain an outward-looking organisation. Our Plan for 2012/13 reflects that approach. We place particular emphasis on the need to influence EU and international developments. We remain fully committed to the principles of good regulation and to keeping the costs associated with the FRC, both in terms of our own costs and the regulatory regime we operate, under careful control.”
In 2012/13 the FRC will focus on four broad objectives:
Monitoring the health of corporate governance and reporting in the UK and making sure that its codes and standards remain fit for purpose and that planned changes are introduced at the right time.
Making sure that the UK’s approach to corporate governance and reporting is properly understood and appreciated in the EU and internationally. Working with the Department for Business, the FRC will press for the policies of the EU on governance and audit to serve the interests of investors.
Focussing on the effectiveness of its monitoring, oversight and disciplinary work, ensuring that the FRC is responsive to emerging risks, joined up, transparent and proportionate. The FRC will review further the scope of its conduct work and seek to enhance the speed and effectiveness of its disciplinary work, including its sanctions.
Following Government approval and subject to Parliamentary debate, the FRC will ensure that the final decisions on the reform of the FRC are introduced effectively.
The FRC’s overall budget for 2012/13 at £22.4m, and the budget for core operating costs at £14.6m, are 2% lower than for 2011/12. There will be no increase in the average levy charged to publicly traded companies, insurance companies and pension schemes.