Preparing for Component Accounting in line with SORP 2010

Preparing for Component Accounting in line with SORP 2010


Despite the deadline for SORP 2010 compliance being several months away and IFRS compliance likely to be due by 2013, impending legislative demands are forcing Housing Associations to act quickly in order to ensure they adhere to the new accounting framework standards. The past year has proven somewhat critical for the majority of Housing Associations, with many of them turning to specialist asset accounting software in a bid to smooth the transition into component accounting.  

With SORP and IFRS standards now a key concern within the sector, Karen Conneely, Group Commercial Manager at Real Asset Management (RAM), describes the ten-fold market interest in consultancy and solutions to aid the fundamental shift in accounting processes, in particular those relating to the adoption of component accounting by April 2012. “The industry is seemingly in a current state of legislative upheaval and many Housing Associations are seeking independent consulting advice to help them through the impending changes. With another Housing Association ordering RAM's software product and consultancy services every few days, the looming deadlines have clearly become a major issue and the more forward thinking Associations are making sure that they are fully prepared.