FRS 102 revised - impact on revenue (Section 23)
The FRC has issued amendments to FRS 102 as part of their Periodic Review 2024 that will be effective for accounting periods beginning on or after 1 January 2026 (with early adoption permitted). Under these amendments, the current guidance in Section 23 - Revenue has been replaced and now is broadly aligned to the principles of the IFRS 15 five step revenue recognition model. Whilst there are some simplifications compared to IFRS 15, the revised guidance will be a significant change for existing FRS 102 reporters, with more prescriptive guidance on revenue recognition than is present in the current Section 23.
