The UK’s Financial Reporting Council (FRC) has issued an International Standard on
Auditing Accounting Estimates and Related Disclosures for UK auditors, covering the audit of expected credit losses in banks and which reflects the increased importance and complexity of estimates in financial statements.
The FRC is also consulting on updates to its Practice Note on
The Audit of Banks and Building Societies in the United Kingdom, an area where the FRC has called for improved quality. The consultation reflects findings from the FRC’s audit inspection work covering bank audits, which were covered extensively in public reports in June 2018.