This Policy Statement reports on the main issues arising from Consultation Paper CP14/17 and publishes final rules.
Why are we publishing this paper?
On 26 August 2014 we published a Consultation Paper proposing, at the request of HM Treasury, to align implementation of the country by country reporting requirements set out in Article 6 of the TD (as revised by the TDAD) with parallel rules set out in Chapter 10 of the Accounting Directive 2013/34/EU (AD) (implemented by the Department for Business, Innovation and Skills).
In this Policy Statement, we summarise the feedback we received on CP14/17 and explain our response to this feedback. We have now implemented the new TD requirement for reports on payments to governments and the new requirement will take effect for financial years beginning on or after 1 January 2015. This Policy Statement sets out the rules that have come into force.
Who should read this paper?
These changes will affect:
- issuers of securities admitted to trading on a regulated market where the UK acts as home Member State and the FCA’s Disclosure Rules and Transparency Rules (DTRs) apply and who are or who may be active in the extractive or logging of primary forest industries
- listed companies who are required by the Listing Rules to comply with DTR4 as if they were an issuer for the purposes of the DTRs and who are or who may be active in the extractive or logging of primary forest industries
- issuers of securitised derivatives who the FCA considers should comply with DTR4 as if they were an issuer of debt securities and who are or who may be active in the extractive or logging of primary forest industries
- firms advising issuers
- firms or persons investing or dealing in listed securities
- primary information providers
Next steps
The new country by country reporting requirements will apply in respect of financial years beginning on or after 1 January 2015. They will affect relevant issuers where the UK acts as home Member State and our DTRs apply. They will also affect listed companies and issuers of securitised derivatives who are required by our Listing Rules to comply with DTR4.
Find out more
- Read our Handbook[2]
- CP14/17 Early implementation of the Transparency Directive’s requirements for reports on payments to governments[3]
- The Reports on Payments to Governments Regulations 2014[4]