Written statement on Business update: Financial Reporting Council

Greg Clark (Secretary of State for Business, Energy and Industrial Strategy): The Financial Reporting Council (FRC) is the regulator responsible for financial reporting and corporate governance in the UK, as well as the designated Competent Authority for independent audit in the UK.

The Government has invited Sir John Kingman to conduct a comprehensive independent review of the FRC. Sir John Kingman has a wealth of private and public sector experience which he will bring to bear in his independent review. He will be supported by an advisory board which he will convene.

The review is part of the Government's Industrial Strategy aim of creating a business environment that works for everyone, in which independent and effective regulation plays a key role.

The UK has a strong reputation as a dependable place to do business, but this needs to be continuously updated, and it is important to ensure that our regulators continue to drive high standards.

The root and branch review will assess the FRC’s governance, impact and powers, to ensure it is fit for the future. It is intended that the review will include a call for evidence, and will be completed by the end of 2018.