The Panel contributes to the achievement of the Financial Reporting Council’s aim of supporting investor, market and public confidence in the financial and governance stewardship of listed and other entities. The Panel seeks to ensure that the provision of financial information by public and large private companies complies with relevant reporting requirements, having regard to international best practice.
The Panel:
- carries out its responsibilities on behalf of the Secretary of State in relation to annual accounts and other documents falling within its remit;
- maintains a Panel body that includes a wide and balanced representation, at the most senior level, of businesspeople, accountants, lawyers and preparers and users of accounts so that those who come before the Panel know that they are judged by their peers within the financial reporting community;
- develops and operates a programme of review of annual accounts based on risk assessment;
- enquires into accounts falling within its remit which come to its attention, whether through selection for review or through complaints;
- ensures that any published findings of the Panel are brought to the attention of other authorities so that they can decide whether disciplinary or other sanctions should be applied;
- liaises with the Financial Services Authority and other authorities in the United Kingdom and internationally to foster the consistent application of accounting requirements and to improve the compliance of financial information with reporting requirements;
- contributes to and seeks to sustain a European Union approach to enforcement that is vigorous, consistent and cost-effective; and
- seeks an appropriate level of recognition within the financial reporting community so as to maximise the Panel’s deterrent effect.
Operating guidelines
In carrying out its work the Panel takes cost-benefit considerations fully into account and maintains operating procedures that take account of best practice, are consistent with those of other regulators world-wide and promote an effective and efficient enforcement process.
The Panel aims to ensure:
- timely but fair dealings with companies whose financial information comes under scrutiny;
- respect for the confidentiality of the process and the information provided by such companies, subject to the legitimate needs and responsibilities of other regulators;
- opportunities for companies to make voluntary corrective changes to their accounts prior to any court application; and
- public reporting of enforcement actions.
