Welcome to Brodies’ weekly corporate news update which highlights selected legal and regulatory issues affecting the business community this week.
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Audit – enhancing “justifiable confidence”
The Financial Reporting Council has set out its work to give justifiable confidence in the quality of audit, expanding on the outline of projects and activity announced in the FRC’s current three year strategic programme.
Accounting standards for smaller entities
The Financial Reporting Council has published a version of the Financial Reporting Standard for Smaller Entities for use by micro-entities who want to take advantage of new regulations allowing them to prepare simplified financial statements. The Small Companies (Micro-Entities’ Accounts) Regulations 2013 are effective in respect of financial years ending on or after September 30, 2013 for companies filing their accounts on or after December 1, 2013.
A House of Commons Library Standard Note gives a brief guide to the main agencies involved in the enforcement of financial law and their powers.
European law – insolvency
The government has published an Explanatory memorandum on a recommendation of the European Commission which sets out various ways in which insolvency laws might be harmonised in EU member states
Link to memorandum
European law – alcohol pricing
The Scotch Whisky Association (represented by Brodies) and others have challenged the legality of the Scottish Ministers’ decision to legislate for a minimum price for alcohol. The Scottish court is now formally asked the Court of Justice of the European Union to rule on whether the Alcohol (Minimum Pricing) (Scotland) Act 2012 is compatible with EU law.
Scottish Government news release
Health warning as battle over alcohol pricing goes to Europe (Herald 01.05.14)
European Court to rule on alcohol pricing law (Journal Online 30.04.14)
Link to judgment
On May 7, 2014