UK regulator tells companies to report Wuhan coronavirus risks
Topics: WUHAN CORONAVIRUS UK
The Financial Reporting Council said today that companies with operations in or close trading links with China should pay particular attention to how they report risks from the virus.
Reporting companies without strong links to China may also become affected if the virus continues to spread, the FRC said.
"By law, companies are required to disclose principal risks to their business," the regulator said.
"The FRC is advising companies to carefully consider what disclosures they might need to include in their year end accounts, which will be particularly relevant for companies either operating in or having close trading associations with China."
The FRC said companies without a presence in China could be disrupted if they have significant trading links or are part of global supply chains that depend on Chinese made goods.
The watchdog said it was also in talks with auditors about their ability to review components in China and produce timely audits. ■