The Financial Reporting Council (FRC) has published a draft three-year strategy for 2025-28 reaffirming its commitment to support UK economic growth and serve public interest.

The FRC said this strategy was “pivotal” in designing its future policies and ensuring it continued to uphold public trust and confidence in corporate governance and reporting, audit and actuarial work, and contributing to economic growth and investment.

In addition to this, it will implement several initiatives including an evolved approach to supervision of audit firms and a review of enforcement procedures, which will be developed through engagement with its stakeholders.

These initiatives aim to enhance the efficiency, effectiveness, and proportionality of the FRC’s processes, ensuring they encourage high-quality standards and improvements across regulated sectors.

The strategy also outlined the FRC’s objectives for 2025-28 including enhancing corporate governance, corporate reporting, and investor stewardship through its standards and expectations to support UK economic growth and investment.

In addition to this, it aims for its regulation of accounting, audit, and actuarial work to encourage high quality by those responsible and deal effectively and fairly with cases where there are significant or serious shortcomings.

It also said it would build on corporate reporting and the audit and actuarial markets it oversees, to be agile and identify and prepare for challenges and opportunities.

FRC said it intends to be a modern organisation and would like to be seen as a “respected, effective and highly engaged” regulator and by its colleagues as an inclusive place to work.

Furthermore, the council said it remained "mindful" of the current economic environment and was committed to avoiding unnecessary cost increases for levy payers, adding that it would look for further efficiencies and maintain a flat headcount.

The FRC also welcomed the government’s commitment to introduce draft legislation aimed at reforming and modernising the FRC’s statutory authorities and powers.

It said this change would “bolster the organisation's ability to fulfil its purpose and deliver on its public interest mandate with a strengthened statutory foundation”.

Alongside this, the FRC also published a draft Plan and Budget for 2025-26 which outlined its aim to consolidate the purpose of its organisation.

Commenting on the publications, FRC CEO, Richard Moriarty, said the FRC’s draft three-year strategy and draft Plan and Budget for 2025/26 reflect the aims of the FRC to be “restless” at seeking to improve the way it delivers its public interest purpose and supports UK economic growth and investment.

“The strategy includes the FRC’s continued commitment to uphold high standards of corporate governance, corporate reporting, audit, and actuarial work to ensure trust and confidence in businesses across the UK,” Moriarty added.

“This in turn enables them to attract investment and grow as well as maintain broader stakeholder support.

“The strategy also includes important commitments to review our regulation to ensure it is effective, proportionate and best designed for the future.”

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