Preparing for changes to UK GAAP
From compliance or capability to confident action.
The 2024 amendments to FRS 102 apply for accounting periods beginning on or after 1 January 2026, with early application permitted. Revenue and leases are the most visible changes, but the impact extends into data, systems, covenants, incentives and disclosures.
A robust transition combines impact assessment, contract analysis, data capture, system design, stakeholder communication and a controlled parallel close.
Move from intent to embedded performance.
Scope
Identify affected entities, contracts, systems and metrics.
Quantify
Model accounting, KPI, covenant and distributable-reserve impacts.
Operationalise
Configure data, controls, workflows and disclosures.
Transition
Test, communicate and execute a controlled cutover.
What stronger practice looks like.
| Dimension | Stronger practice | Warning signal |
|---|---|---|
| Revenue | Contract-level assessment and documented judgements | Generic policy conclusions without transaction evidence |
| Leases | Complete population, reliable data and controlled calculations | Spreadsheet dependence and incomplete lease records |
| Stakeholders | Early dialogue on covenants, incentives and forecasts | Unexpected metric changes after transition |
| Systems & controls | Configured workflows, ownership and audit trail | Manual overlays with weak version control |
FRS 102 readiness is not simply an accounting exercise; it is a controlled change programme across contracts, data, systems and stakeholders.
Turn insight into a management rhythm.
- Quantify the impact before budgets and forecasts are locked.
- Engage lenders, boards and remuneration committees early.
- Design disclosures and evidence alongside the accounting solution.
Bring clarity to the decision in front of you.
Tell us what is changing. We will assemble the expertise to move it forward.