Thursday, 14 February, 2013: In November 2011, the European Securities and Markets Authority (‘ESMA’) issued a consultation paper entitled ‘Considerations of Materiality in Financial Reporting’ to seek comments from interested parties about their understanding of various aspects of materiality in an effort to contribute to a consistent application of this important concept in financial reporting. The deadline for responses was 31 March, 2012.
The Authority’s Head of Financial Reporting Supervision is Chair of the ESMA sub-group on materiality which produced the consultation paper and subsequent publications.
ESMA has now published a Feedback Statement to its consultation paper following on from the Summary of Responses published in August, 2012 and the ESMA hosted public roundtable on materiality in financial reporting which took place in October 2012. The Feedback Statement provides an overview of the key messages from the responses received to the questions in the consultation paper. The views expressed offered valuable insights relevant not only to accounting enforcers, but also to accounting standard-setters, regulators and other stakeholders.
The Feedback Statement published by ESMA can be accessed here.