14-08-2025
CIPFA/LASAAC has issued its annual consultation on the 2026/27 Code of Practice on Local Authority Accounting in the United Kingdom (the Code). The 2026/27 Code will apply to accounting periods starting on or after 1 April 2026.
Issues considered in the consultation
The changes and feedback requested in the invitation to comment (ITC) for the 2026/27 Code relate to the following.
- CIPFA LASAAC’s strategic plan, including the Better Reporting Group
- Structure and format of the Code
- Financial reporting reforms for 2026/27
- Removal of the expenditure and funding analysis (EFA)
- Decoupling pension fund accounts (England)
- Changes to accounting standards for 2026/27, including:
- Amendments to the classification and measurement of financial instruments (Amendments to IFRS 9 and 7)
- Contracts referencing nature-dependent electricity (Amendments to IFRS 9 and 7)
- Annual improvements to IFRS accounting standards – Volume 11
- Amendments to FRS 102 The Financial Reporting Standard Applicable in the UK and Republic of Ireland (Amendments to Heritage assets)
- IPSAS 47 Revenue and 48 Transfer Expenses
- IPSAS 49 Retirement Benefit Plans
- Other financial reporting or emerging issues, including:
- Changes to IFRS standards that could impact on the Code
- Changes to IPSAS standards that could impact on the Code
- Local government reorganisation
- Sustainability reporting
The invitation to comment and exposure drafts of the 2026/27 Code
The invitation to comment (ITC) summarises the possible changes to the Code. The exposure drafts, which present the changes in the Code, are included separately.
Download the Exposure Draft 1: Amendments to IFRS 9 and IFRS 7
Download the Exposure Draft 2: Adaptations to IFRS 15 and IAS 20
Interested parties are invited to provide responses to questions in the ITC via the invitation to comment form.
Where CIPFA/LASAAC is interested in specific issues, consultation questions have been included in the ITC. However, CIPFA/LASAAC welcomes comments on any aspect of the draft 2026/27 Code. In order to assess comments properly, respondents are asked to support comments with clear accounting and financial reporting reasons and, where applicable, preferred alternatives.
Responses are requested by 12 October 2025, 23:00.
If you have any issues with completing the ITC form, please email cipfalasaac@cipfa.org.
Find out more
For more information, please join the hour-long CIPFA webinar on the 2026/27 Code consultation being held in September 2025. Further details to follow shortly.