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FRS 102.

Everything you need to know ahead of
the changes coming on 1 January 2026

Do you need help with FRS 102 and the upcoming changes?

On 27 March 2024 the Financial Reporting Council (FRC) released The Financial Reporting Standard applicable in the UK and Republic of Ireland and other FRSs – Periodic Review 2024 (FRS 102 (2024)).

From 1 January 2026, FRS 102 will undergo its most significant update since its introduction. These changes aim to align UK GAAP more closely with international standards, improving transparency and comparability.

By using this page, you’ll stay informed, reduce compliance risk, and ensure your financial reporting remains accurate and transparent. Whether you’re an SME or a larger organisation, these resources will help you navigate the changes confidently and turn compliance into an opportunity for better reporting.

Explore our detailed guides below to get practical advice and actionable steps for implementing the new FRS 102 requirements.

How we can help

At PEM, we understand the pressures these changes may bring—and we’re here to support you every step of the way. Our expert team can help you:

Assess the impact on your financial reporting and business operations
Update your accounting processes and systems
Prepare your team with the knowledge and tools they need to stay compliant

Let’s make sure your business is ready.

Section 1A: Application to smaller entities.

Our Section 1A: Application to smaller entities guide has been produced with those entities in mind and provides a summary of the changes applicable to smaller entities.

It also includes a summary of the reporting changes applicable to micro-entities applying FRS 105 The Financial Reporting Standard applicable to the Micro-entities Regime (2024).

Download our Section 1A: Application to smaller entities guide

Section 23: Revenue.

Our Section 23: Revenue guide provides a high level summary of the key changes in Section 23 (Revenue from Contracts with Customers) and highlights the new terminology and key factors that should be considered as you prepare for transition.

Download our Section 23: Revenue guide

Section 20: Leases.

Our Section 20: Leases guide provides a high level summary of the key changes in Sections 20 (Leases) and highlights the new terminology and key factors that should be considered as you prepare for transition.

Download our guide on Section 20: Leases

FRS 102 and the SORP (2026).

Changes in FRS 102 are reflected in the drafting of the new charity SORP. Our webinar explores the impact on charities and non-profit entities of the changes in income recognition, the revisions to lease accounting and the practical implications when preparing for transition.

Watch this webinar

Your expert team

Meet the whole team

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FRS 102.

Everything you need to know ahead ofthe changes coming on 1 January 2026

On 27 March 2024 the Financial Reporting Council (FRC) released The Financial Reporting Standard applicable in the UK and Republic of Ireland and other FRSs – Periodic Review 2024 (FRS 102 (2024)).

How we can help

Section 1A: Application to smaller entities.

Section 23: Revenue.

Section 20: Leases.

FRS 102 and the SORP (2026).

Your expert team

Warren Tilbury

Kelly Bretherick

James Burrett

Jemma Gibbons-Riddell

Michael Hewett

Nikki Loan

Andrew Mason

Edward Napper

Bertie Newman

Adam Smith

Gemma Baratte

David Frost

Tom Hamilton

Lian Jordan

Grace Quist-Therson

Charlotte Young

Related insights

Article

Changes to leases under FRS 102 – accounting and tax implications

Speak to our experts

Everything you need to know ahead of
the changes coming on 1 January 2026