​You may already be aware that for non-small businesses using UK GAAP there is a requirement to move to (usually) FRS 102 Financial Reporting Standard Applicable in the UK and Ireland for accounting periods commencing on or after 1 January 2015. For small entities, the requirement applies for accounting periods commencing on or after 1 January 2016. In both cases early adoption is possible.

The complication though, is that although most businesses that have been using UK GAAP will move to FRS 102, there are other options for some. Qualifying entities, for example subsidiaries where group accounts are prepared, may instead choose to apply FRS 101 Reduced Disclosure Framework.