In early December 2020, the UK Financial Reporting Council (FRC) published consolidated covid-19 guidance for companies and auditors. The consolidated guidance supersedes all previous FRC guidance for companies and auditors.
The latest FRC Bulletin also updates Guidance for auditors and includes:
- In the section on the ‘planned audit approach’, to give examples of factors that may heighten risks of material misstatement due to fraud or irregularity.
- In the section on ‘compliance with laws and regulations’, to identify that improper claims for financial support could result in liabilities for repayment and fines.
- The section on ‘subsequent events’ has been edited to reflect the updated guidance for companies and other minor edits have been made in the Bulletin to reflect that this is no longer a ‘new’ situation.
The letters and guidance can be downloaded here