CIMA F1 Syllabus A. Regulatory Environment Of Financial Reporting - National Regulators - Notes ^{3 / 8}

A typical regulatory structure includes:

1. National Financial Reporting Standards

2. National Law

3. Market Regulations

4. Security Exchange Rules

For example; the UK:

• National Financial Reporting Standards:

  Has its own National financial reporting authority, the Accounting Standards Board (ASB) who issue Financial reporting standards (FRS) in the UK

• National Law:
   
  The Companies Act 2006. However even EU and US legislation (such as the Sarbanes Oxley Act) affect accountability in the UK.

• Market Regulations:

  Industry specific regulatory systems affect accounting in the UK, Eg. The Financial Services Authority

• Security Exchange Rules:

  These are regulations provided by the London Stock Exchange for companies whose shares are quoted on this market