§ Mr. Peter AtkinsonTo ask the President of the Board of Trade what plans he has to seek views on the proposed changes to the regulations governing summary financial statements. [16083]
§ Mr. Jonathan EvansMy Department has today published a consultative document seeking views on a number of recommendations for changes to the regulations governing summary financial statements. The document recommends changes to the procedures for consulting shareholders, the content of the SFS and the drafting of the regulations. The proposals have been developed with the help of business and the accountancy profession. They aim to make the SFS regime simpler and a more attractive option for companies and encourage their more widespread use.
The Department believes that greater use of SFS would benefit both business and shareholders. For business, they offer opportunities for cost savings and improved shareholder communications. Shareholders—in particular, private investors—benefit by receiving company information in a form which is easier to understand and more relevant to their needs, while still retaining the right to receive full reports if they choose.
The Department is also seeking views on changes to the content of SFS issued by insurance companies, which are necessary to align with new EU rules.
Copies of the consultative document have been placed in the Libraries of both Houses.
Comments should reach my Department by 19 May 1995.