Lloyd’s regime is incomplete warn experts

Lloyd's regime is incomplete warn experts

The new accounting regime implemented by Lloyd’s of London syndicates omits key disclosures and reduces transparency, analysts at credit rating agency Standard & Poor’s warn

Last year, the syndicates began reporting annually on a UK GAAP basis, but
ironically the disclosures under the old system, which was harshly criticised as
it only required syndicates to produce accounts every three years, were
superior, according to experts.

A research report by a team of Standard & Poor’s analysts said that under
UK GAAP the syndicates were permitted to exclude key disclosures that were
compulsory under the old rules.

‘Perversely, by moving to the standards of the company market, a number of
valuable disclosures have been, or are in the process of being lost. It is fair
to say that Lloyd’s original reporting regime provided a level of disclosure far
in excess of that mandated by UK GAAP’.

The agency is concerned this change is weakening consistency of reporting
within Lloyd’s.

Stuart Bridges, finance director of Hiscox, a member of Lloyd’s Syndicate 33,
said that the increased disclosure at plc level compensated for this.

Related Articles

Finance director of CMS on mergers, technology and challenges ahead

Corporate Finance Finance director of CMS on mergers, technology and challenges ahead

3w Emma Smith, Managing Editor
SMEs at risk of getting burnt by interest rate rises – why accountants should take note

Corporate Finance SMEs at risk of getting burnt by interest rate rises – why accountants should take note

2m Marc Bajer, CEO, Hadrian's Wall Capital
Grant Thornton recruits new corporate finance partner

Accounting Firms Grant Thornton recruits new corporate finance partner

1y Emma Smith, Managing Editor
Total fraud value at £2bn five-year high, finds BDO

Accounting Firms Total fraud value at £2bn five-year high, finds BDO

2y Stephanie Wix, Writer
MHA MacIntyre Hudson appoints corporate finance director

Accounting Firms MHA MacIntyre Hudson appoints corporate finance director

2y Stephanie Wix, Writer
Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

Consulting Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

2y Stephanie Wix, Writer
KPMG announces senior partner promotion in Newcastle

Accounting Firms KPMG announces senior partner promotion in Newcastle

2y Stephanie Wix, Writer
Independent city firm reports 70% growth

Accounting Firms Independent city firm reports 70% growth

2y Stephanie Wix, Writer