Government accounts 'to be delayed'

Whole of Government accounts project could be put back following snags with the implementation of International Financial Reporting Standards

Written by Our Parliamentary Correspondent

Accountancy Age, 07 Mar 2008

Government plans to produce a single consolidated set of accounts may be delayed following issues with the move to international financial reporting standards, the commons Treasury committee has said.

The Ministry of Defence and the Department of Health are both behind in the move to IFRS and are set to miss the deadline, it emerged this week.

'If the changeover does lead to reduced timeliness in 2008/09, or to a significant increase in the number of audit qualifications, or both, this might put at risk the latest timetable for the publication of the first Whole of Government Accounts in 2008/09,' the committee said in a report on the work of the Treasury departments.

The comments came in a report which was heavily critical of bonuses paid to HM Revenue & Customs' staff.

The committee complained there had been 'slippage' in meeting HMRC targets and voiced 'particular alarm' at a continued failure to meet its target for processing VAT receipts and improve the administration of tax credits.