We’re aware that a number of our clients are experiencing delays in receiving final accounts. If you’re experiencing this issue, some key points to be mindful of will be:
- AGM notices:
a. For those RPs required to hold annual general meetings (AGMs) under their constitutions (or where they have PLCs in the group), it may be necessary to notify shareholders/members that the accounts are not available to be circulated with the AGM notice and will be made available later. In this case, it should be made clear that a copy should be available at the meeting and reading time will be built into the meeting agenda to allow attendees to review the accounts.
b. If there’s a risk that the final accounts won’t be available in time for your AGM, please get in touch for further advice.
- Filings:
a. Different filing requirements apply for different regulators/registrars:
i. The Regulator of Social Housing (the Regulator) requires annual accounts and auditors reports to be filed within 6 months of the end of the financial year. If you are concerned regarding your organisation’s ability to meet this deadline (building in time for necessary approvals) you should contact your regulatory manager to make them aware of the issue, noting the fact that this is outside of your organisation’s control.
ii. For the Financial Conduct Authority (FCA), it’s within 7 months of the end of the financial year. Again, if you anticipate any delay in meeting this deadline you should contact the FCA as soon as possible inform them;
iii. Companies House requires accounts to be filed 9 months after your company’s financial year ends; and
iv. For registered charities registered with the Charity Commission, you must file accounts with the Charity Commission within 10 months of the end of the financial year.
- Funders:
a. Finally, think about your funding agreements. Copies of annual reports, containing the accounts, are provided to funders for their perusal and information. It’s worthwhile reviewing relevant funding agreements to consider if a delay in providing this information may constitute an event of default For those RPs with bond funding, an RNS announcement may also be required. In this case, you should seek external advice and we are already advising a number of clients in this regard.
Get in touch with Rose Klemperer or your usual contact if you have any questions arising out of this article.
