EU regulation on the application of international accounting standards.

Regulation (EC) 1606/2002 of the European Parliament and of the Council of 19 July 2002 on the application of international accounting standards (IAS Regulation) came into force on 14 September 2002. It requires that, for financial years starting on or after 1 January 2005, publicly traded companies governed by the law of an EU member state must, with certain transitional exceptions, prepare their consolidated financial statements in conformity with adopted International Financial Reporting Standards (IFRS).

For further details on accounting standards generally, see Practice note, Accounting standards used in the UK.