Two EU Directives were passed in 2013 which mandate annual reports on payments to governments by companies in the extractive industries which are incorporated or listed in the European Union.
The UK government has issued its response paper following its consultation on implementing the provisions of the Accounting Directive. It sets out how those aspects of the law over which EU Member States have some control, including timing of implementation of the requirements, format and timing of publication of reports, and the penalty regime, will be addressed in the UK. The UK Financial Conduct Authority has also now issued its corresponding consultation paper (CP14/17) on amendments to the Transparency Rules to implement the equivalent provisions in the Transparency Directive and apply them to companies listed in the UK.
In the UK, the requirements will be implemented earlier than required and will apply to listed and other large extractive companies for financial years beginning on or after 1 January 2015.