Question to the Department for Business and Trade:

To ask His Majesty's Government what assessment they have made of the effectiveness of the guidance by the International Accounting Standards Board Disclosures about Uncertainties in the Financial Statements—Illustrative examples, published on 28 November 2025, in ensuring companies affected by climate change explain to investors the material climate assumptions on which their accounts are drawn up, in such areas as asset valuation, asset lives and contingent liabilities.

The UK Endorsement Board widely consulted with UK stakeholders, including investors and companies, throughout the International Accounting Standards Board’s (IASB) development of the illustrative examples. Feedback, on whether they would support companies in reporting the effects of climate-related, and other, uncertainties in their financial statements, was shared with the IASB and incorporated before finalisation.

The upcoming reporting cycle will clarify whether the guidance has influenced company reporting on such matters.