Forecasting after Brexit: asset impairment

Post-Brexit, companies need to review the robustness of their forecasts and the extent and value of their asset impairment under IAS 36, advises PwC accounting consulting services partner Peter Hogarth

There will inevitably be a protracted period of negotiation, now that the UK has voted to leave the EU as the detailed political and legal issues are worked out and the real impact of leaving unfolds. The resultant uncertainty will likely affect most UK businesses in some way or another.

There was an immediate impact on the financial markets around the world, with the pound weakening against other currencies and share prices fluctuating as markets reacted to the decision. But longer term there are questions about how businesses will adapt to the changing economic environment, and what this will mean for strategies and business models.

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