Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, what discussions his Department had with the International Accounting Standards Board on the effect of conversion to IFRS accounting standards for financial services companies on leverage ratios for those companies.

In the UK, listed companies have been required to use International Financial Reporting Standards (IFRS) since 2005. Banks who are not required to use IFRS are able to choose between using IFRS or using UK Generally Accepted Accounting Principles.

This Government has not had any discussions with the International Accounting Standards Board around the effect of companies being required to convert to IFRS, though continues to engage with that body and all others involved in setting standards for the financial services sector.