The landscape of UK financial reporting is about to shift dramatically. Following the Financial Reporting Council’s 2024 review of UK GAAP, new requirements will take effect for accounting periods beginning on or after 1 January 2026.

These are not minor technical tweaks: they represent a significant overhaul, particularly in the areas of revenue recognition and lease accounting. The effects will be felt across the business influencing reported performance, business decisions, and key metrics.

And yet, most organisations are nowhere near ready. In recent research conducted by Croner-i, when asked how prepared they were for the FRS 102 changes, just 3.1% of respondents said they felt fully prepared, while a striking 41.9% admitted they were not prepared at all.