This summer the Financial Reporting Council (FRC) issued an updated version of the Financial Reporting Standard for Smaller Entities – the FRSSE (effective January 2015). The standard has been an established feature of UK accounting since its birth in 1997, but does it have a long-term future?

'The FRSSE has fulfilled a useful role for smaller companies in the simplification of what is a relatively complex mix of accounting standards applicable in the UK,' says Tessa Park, technical and training partner at Kingston Smith. 'It has allowed for the financial reporting of such companies to be proportionate and, in doing so, has reduced the time and cost involved for smaller companies in preparing their accounts.'