Accounting standards
The IASB has proposed an update to the IFRS accounting taxonomy 2025 to support digital financial reporting of information under three new and amended IFRS Accounting Standards: IFRS 20, Regulatory Assets and Regulatory Liabilities; IAS 21, The Effects of Changes in Foreign Exchange Rates, which formally incorporated amendments on translation to a hyperinflationary presentation currency in November 2025; and IFRS 19, Subsidiaries without Public Accountability: Disclosures.
The IASB says it has received positive feedback on IFRS 16, Leases. Its post-implementation review shows stakeholders reporting improved transparency and comparability of information about leases, boosting assessments of their impact on a company’s financial position, performance and cashflows.
The IFRS Foundation has announced two new appointments. The next chair of the International Accounting Standards Board (IASB) will be Sam Woods, a former deputy governor of the Bank of England and CEO of the UK Prudential Regulation Authority. He succeeds Andreas Barckow and will serve a five-year term from 1 October 2026. The second appointment is Steven Maijoor, who will be the chair of the IFRS Foundation trustees from 1 January 2027. A former chair of the European Securities and Markets Authority, Maijoor is currently supervision chair of the Dutch central bank and a European Central Bank supervisory board member.
Auditing and assurance
The International Auditing and Assurance Standards Board (IAASB) has proposed revisions to three audit standards: ISA 330, The Auditor’s Responses to Assessed Risks; ISA 500, Audit Evidence; and ISA 520, Analytical Procedures. The amendments revise definitions of audit evidence to reflect digital technologies, emphasise the intended purposes of audit procedures, strengthen requirements for evaluating the relevance and reliability of audit evidence, and reinforce professional scepticism throughout audits. They also clarify the role of control tests, substantive procedures and analytical procedures.
The IAASB has also proposed revisions to its international standard for auditing less complex entities (ISA for LCE). The changes revise auditor responsibilities relating to fraud and going concern, replace the term ‘listed entity’ with ‘publicly traded entity’, and maintain interoperability with the International Code of Ethics for Accountants.
Ethics
The International Ethics Standards Board for Accountants has issued new guidance for accountants developing, implementing or using emerging technologies in public practice and business. The advice emphasises that, irrespective of automation or technological sophistication, professional accountants remain responsible for their judgments and decisions. It highlights the importance of an inquiring mind, professional judgment and human oversight when evaluating technology-driven outputs.
Financial regulation
The International Organization of Securities Commissions has published a report on supervisory technology (suptech) and its contribution to supervision and regulatory oversight, boosted by AI, data access and cloud infrastructure. The report highlights the importance of structured long-term workforce planning when integrating suptech tools, given the current prioritisation of external hires over internal capability building and the heavy reliance of upskilling efforts on online and ad hoc training.
Corporate law
The European Parliament is supporting the European Commission’s ‘EU Inc’ incorporation proposals but suggests it needs to be underpinned by greater harmonisation of corporation formation and tax law within the 27-country European Union bloc. MEPs have called for ‘a unified corporate law framework, with later modules possibly covering also taxation’, and a ‘consolidated corporate tax base, standardised tax returns, simplified VAT procedures and streamlined withholding tax rules.’
Sustainability
The European Financial Reporting Advisory Group (EFRAG) has released guidance on the revised European Sustainability Reporting Standards (ESRS) issued by the European Commission in July 2026. EFRAG’s new interactive document set includes all revised topical ESRS, including the voluntary standard for smaller businesses, as well as a glossary and list of defined terms, and a version-switch feature to help users compare the new ESRS with the November 2025 release.
The Global Reporting Initiative’s GRI Academy has launched five online courses. They cover using GRI and CDP standards together, integrating ESG into enterprise risk management, assessing how organisations depend on and impact nature, reporting on Scope 3 greenhouse gas emissions, and preparing digital sustainability reports.
