FRS 102: Resource hub
Your essential guide to managing the changes to FRS 102
Significant changes to FRS 102 are now in force impacting large businesses and SMEs.
Here we bring together our latest guidance, sector insights, and events to help you understand what’s changed, how to comply, and what the new standards mean for your business, your financial statements, and your strategic decisions.
You can also sign up to our FRS 102: Beyond compliance webinar on Wednesday 13 May to gain practical, expert-led insight into the changes and what they mean for your organisation.
Changes to your accounts: FRS 102 and the impact on businesses
From 1 January 2026, the most substantial update to FRS 102 since its introduction more than a decade ago came into force, impacting large businesses as well as SMEs.
The amendments, approved by the Financial Reporting Council (FRC) following its 2024 periodic review, are designed to modernise UK GAAP and bring it closer to international reporting practices – particularly IFRS 15 and IFRS 16.
This article summarises the key reforms now taking effect and what they mean for businesses.
What creative, media and technology businesses need to know
The latest amendments to FRS 102 represent the most substantial update to UK financial reporting in recent years. Effective for accounting periods beginning on or after 1 January 2026, the revisions introduce some fundamental changes to accounting, including:
- A new revenue recognition model – Which requires firms to analyse contracts much more carefully and in much more detail and recognise revenue only as specific performance obligations are met
- A revised lease accounting framework – Which removes the distinction between operating and finance leases, requiring almost all leases to be recognised on the balance sheet
For businesses operating in the Creative, Media and Technology (CMT) sector, these two developments are particularly important. This article explains why each of these changes matter, explores what is changing, and how CMT businesses are specifically affected.
What the real estate sector needs to know
FRS 102 has undergone an update that will take effect for accounting periods beginning on or after 1 January 2026, bringing the standard into closer alignment with IFRSs.
The amendments introduce certain fundamental changes in several areas, including revenue, leases and fair value accounting. This article gives an overview of the main updates and points to note for preparers of financial statements under FRS 102 most relevant to the real estate sector.
What professional services firms need to know
Following its 2024 periodic review, the Financial Reporting Council has introduced a new revenue recognition model within FRS 102, effective for accounting periods beginning on or after 1 January 2026.
For firms in the professional services sector, where revenue often spans complex engagements, variable fees and longterm projects, these revisions could have a significant impact.
This article breaks down what’s changing, why it matters and what firms should be doing now.
What academy Trusts need to know
Academy trusts will soon need to prepare for a series of important changes to charity accounting rules that will affect how they recognise leases, report income and present their Trustees’ annual reports.
The changes stem from updates to Financial Reporting Standards 102 (FRS 102), the UK’s main accounting standard, which in turn require revisions to the Charities Statement of Recommended Practice (SORP). While academy trusts are classified as exempt charities, they must still comply with both the Charities SORP and the Academies Accounts Direction (AAD), meaning these changes will flow directly into academy trust reporting.
What charities need to know
The Charities SORP-making body have issued a summary-of-key-changes which sets out the nature of changes to each SORP module. Like FRS 102, the Charities SORP 2026 is effective for accounting periods beginning on or after 1 January 2026.
FRS 102: Beyond compliance webinar
Wednesday 13 May, 9:30am – 10:45am, online via GoToWebinar.
Significant changes to FRS 102 are now in force, and many businesses are only now beginning to understand the wider impact on their financial reporting.
This webinar will take you through the new requirements, explaining what’s changed, and what it means for your business.
Topics covered include:
- What’s changed in FRS 102 and how to comply.
- How your borrowings may be impacted.
- Why corporation tax payments may be accelerated.
- The impact on dividend payments and bonuses.
- Why it may be sensible to review lease lengths.
- What your sales and operations teams need to consider.
- How your accountant can help
- Common pitfalls, how to avoid them, and how to strengthen quality and consistency in your financial reporting.
Who should attend:
- Financial managers and controllers
- Business owners and entrepreneurs
- Anyone involved in financial reporting
Our expert speakers will highlight important areas to look out for and there will be opportunities to submit questions throughout.
You can also submit your questions prior to the webinar by emailing [email protected] to make sure they are covered.
Key contacts
Graham Gardner CA(SA)
Audit Partner (Head of Audit Quality)
Email Graham
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Emily Baldwin FCCA
Accounts Director
Email Emily
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