10. ACCOUNTING FRAMEWORK
10.3 Standards, amendments and interpretations not yet effective
 

At the date of authorisation of these annual financial statements, the following relevant standards, amendments and interpretations to existing standards were in issue but not yet effective. These will apply to the Group's accounting periods beginning on 1 June 2020 or later periods and have not been elected to be early adopted by the Group.

The following standards/amendments/interpretations are not anticipated to have a material impact on the Group, and are effective for annual periods beginning on 1 June 2020:

Standard(s)/
amendment(s)/
interpretation(s)/
Description of change Effective date

Amendment to IAS 1 – Presentation of Financial Statements and IAS 8 – Accounting Policies, Changes in Accounting Estimates and Errors on the definition of material

These amendments to IAS 1 and IAS 8 and consequential amendments to other IFRS:

  • use a consistent definition of materiality through IFRS and the Conceptual Framework for Financial Reporting;
  • clarify the explanation of the definition of material; and
  • incorporate some of the guidance in IAS 1 about immaterial information.

The amendments will not have a material impact on the Group.

Accounting period beginning on 1 June 2020

Amendment to IFRS 3 – Business Combinations

Definition of a business

This amendment revises the definition of a business. According to feedback received by the IASB, application of the current guidance is commonly thought to be too complex, and it results in too many transactions qualifying as business combinations. More acquisitions are likely to be accounted for as asset acquisitions.

The amendment will not have a material impact on the Group.

Accounting period beginning on 1 June 2020

IFRS 17 – Insurance Contracts

The IASB issued IFRS 17 – Insurance Contracts, and thereby started a new epoch of accounting for insurers. Whereas the current standard, IFRS 4, allows insurers to use their local GAAP, IFRS 17 defines clear and consistent rules that will significantly increase the comparability of financial statements. For insurers, the transition to IFRS 17 will have an impact on financial statements and on key performance indicators.

The standard will not have a material impact on the Group.

Accounting period beginning on 1 June 2023

Amendments to IFRS 9 – Financial Instruments,

IAS 39 – Financial Instruments: Recognition and Measurement and IFRS 7 – Financial Instruments: Disclosure - Interest rate benchmark reform

These amendments provide certain reliefs in connection with interest rate benchmark reform (IBOR). The reliefs relate to hedge accounting and have the effect that IBOR should not generally cause hedge accounting to terminate. However, any hedge ineffectiveness should continue to be recorded in the income statement.

The amendments will not have a material impact on the Group.

Accounting period beginning on 1 June 2020