Small and Medium-Sized Firms Will Benefit from New Accounting Rules, Says PwC

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Privately-owned small and mediumsized companies in the Midlands will soon benefit from the introduction of new accounting rules, according to PwC.

The new SME standard is much less restrictive than the existing International Financial Reporting Standards (IFRS), and is expected to be mandated shortly in the UK by the Accounting Standards Board.

Keith Harrington, head of assurance at PwC in the Midlands, said the new rules would be considerably easier to apply, and would also help non-publicly accountable companies in the region to update their corporate reporting in readiness for any future requirements to adopt specified standards.

He said: "The publication of this standard is the death knell for UK Generally Accepted Accounting Practice and its impact will be felt by many Midlands companies, large and small.

"For many privately-owned companies in the region, the standard will make the transition to IFRS easier and after the initial conversion work is done, in the medium term there should be real cost benefits. …