Home > Policy and analysis > Reports > Statement of recommended practice: accounting for further and higher education 2019 edition

Statement of recommended practice: accounting for further and higher education 2019 edition

Report
3 October 2018

Statement of recommended practice

Statement of Recommended Practice: accounting for further and higher education (effective for periods beginning on or after 1 January 2019)

This Statement of Recommended Practice (SORP) reflects the Amendments to FRS 102 – Triennial review 2017 – Incremental improvements and clarifications issued by the Financial Reporting Council in December 2017. It will be effective for financial periods beginning on or after 1 January 2019.

As previously, the SORP combines the requirements of institutions of both further and higher education throughout the United Kingdom, reflecting the collaboration between the key stakeholders – Further and Higher Education funding and regulatory bodies, sector representative bodies, and accounting practitioners – all of whom are represented on the FE / HE SORP Board.

The majority of the amendments introduced by the Triennial Review 2017 were editorial in nature and were intended to clarify rather than change the accounting treatment. The Amendments to SORP 2019 from SORP 2015 therefore generally follow a similar basis. As a result it is not expected that many institutions will experience substantive changes to accounting treatments currently adopted, although as with SORP 2015, practitioners will also be required to consult FRS 102 to understand the full accounting requirements. In addition to the amendments, there are changes to disclosure requirements which will also require to be adopted.

In preparing SORP 2019, the opportunity has been taken to incorporate the previous amendments set out in the FEHE SORP Guidance Note 2015, issued by Universities UK, in response to the 2015 amendments to FRS 102. In other areas, terminology has been more closely aligned with FRS 102.

SORP 2019 sets out the transition requirements for adoption of the SORP, including provisions on early adoption should institutions wish to adopt the requirements in 2018/19. More detailed guidance notes will be produced by BUFDG (www.bufdg.ac.uk) in early 2019.

News

Thousands more should be able to do Degree Apprenticeships

15 July 2019
Bold action is needed from government to reform the degree apprenticeship system so many more people can become degree apprentices, according to a major report published today by Universities UK.

UUK response to the latest UCAS Undergraduate application figures

11 July 2019
Universities UK responds to the news that a record amount of young people in England are applying to study at university

Blog

First thoughts on Augar: plenty to discuss, but we must protect opportunity and choice

30 May 2019
Universities UK's Director of Policy Chris Hale takes a first look at the Augar review's long-awaited recommendations.

Universities must help secure a sustainable future for our planet

4 April 2019
The University of Edinburgh's Dave Gorman on the steps his institution is taking to reduce carbon emissions and make a sustainable and socially responsible contribution to the world.