2. Accounting standards issued, Not adopted - Notes to the core accounting statements

The Code of Practice requires the disclosure of the impact of an accounting change arising from a new accounting standard which has been issued but not yet adopted by the Code for the relevant financial year.

The standards introduced by the 2021/22 Code of Practice and relevant for additional disclosures that will be required in the 2020/21 financial statements in accordance with the requirements of the Code are:

• Definition of a Business: Amendments to IFRS 3 Business Combinations.
• Interest Rate Benchmark Reform: Amendments to IFRS 9, IAS 39 and IFRS 7.
• Interest Rate Benchmark Reform - Phase 2: Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16.

None of these changes would impact significantly on the Authority's accounts for 2020/21.

A new accounting standard covering leases, IFRS 16 - Leases, has been deferred to be adopted in the 2021/22 Code with effect from 1st April 2021. This new standard will bring almost all leases onto an entity's balance sheet. As a result, some contractual payments that the Authority currently recognises as revenue expenditure could instead be recognised as an asset with a corresponding lease liability.