Written question asked by Peter Ainsworth (Conservative) on Wednesday, 30 November 2005, in the House of Commons. It was due for an answer on Monday, 5 December 2005. It was answered by John Healey (Labour) on Thursday, 8 December 2005 on behalf of the Treasury.

Operating and Financial Review

Question: To ask Mr Chancellor of the Exchequer, what discussions he had with (a) the Confederation of British Industry, (b) the Department for Trade and Industry, (c) the Department for the Environment, Food and Rural Affairs, (d) the Association of British Insurers and (e) the Sustainable Development Commission prior to his decision to abandon the Operating and Financial Review; and if he will make a statement.

Answer: [holding answer 5 December 2005]: In line with the Government's commitment to simplifying company law and reducing the regulatory burden on business, the Government have decided to replace the requirement for quoted companies to produce a statutory Operating and Financial Review with a requirement to produce an enhanced Business Review. This aligns the reporting requirements of quoted companies with the requirements of the European Accounts Modernisation Directive and demonstrates the government's ongoing commitment to strategic forward-looking narrative reporting. In considering the issues around removing the statutory OFR, the Government reviewed responses to the extensive consultation on the introduction of the OFR published by the DTI in December 2004.

Secondary information

Type: Written question
Reference: 440 c1452W;440 c1452W; 34774
Session: 2005-06
Subjects: Accountancy Company law Company accounts Companies Department for Environment, Food and Rural Affairs Department of Trade and Industry Finance Confederation of British Industry Sustainable Development Commission Austrian Biofuels Institute