Citation, commencement and expiry

1. —(1) These Regulations may be cited as the Accounting Standards (Prescribed Bodies) (United States of America and Japan) Regulations 2015.

(2) These Regulations come into force on 1st October 2015.

(3) These Regulations cease to have effect on 30th September 2022.

Prescribed bodies

2. Subject to regulations 3 to 7, the following are prescribed bodies for the purposes of section 464 of the Companies Act 2006—

(a) the body known as the Accounting Standards Board of Japan( 3 ); and

(b) the body known as the Financial Accounting Standards Board( 4 ).

3. The Accounting Standards Board of Japan is a prescribed body only in respect of the group accounts of a parent company( 5 ) that has securities admitted to trading on the Fukuoka Stock Exchange, the Nagoya Stock Exchange, the Osaka Securities Exchange, the Sapporo Securities Exchange, the Tokyo Stock Exchange and the Tokyo Financial Exchange.

4. The Financial Accounting Standards Board is a prescribed body only in respect of the group accounts of a parent company that has securities registered with the US Securities and Exchange Commission.

5. A body listed in regulation 2 is only a prescribed body in respect of the group accounts of a parent company for the first 4 financial years( 6 ) following the incorporation of that company.

6. The bodies listed in regulation 2 are not prescribed bodies in respect of the group accounts of a parent company that is required by article 4 of EC Regulation No 1606/2002 of the European Parliament and of the Council of 19th July 2002 on the application of international accounting standards( 7 ) to prepare group accounts in accordance with international accounting standards.

7. The bodies listed in relation 2 are prescribed bodies only in respect of group accounts for financial years beginning on or after 1st January 2015.

Review

8. Before 1st October 2020, the Secretary of State must—

(a) carry out a review of these Regulations;

(b) set out the conclusions of the review in a report; and

(c) publish the report.

9. The report must in particular—

(a) set out the objectives intended to be achieved by the regulatory provision established by these Regulations;

(b) assess the extent to which those objectives are achieved; and

(c) assess whether those objectives remain appropriate and, if so, the extent to which they could be achieved with a system that imposes less regulation.