Businesses across the property, construction and wider commercial sectors are navigating significant changes to UK GAAP, with the latest FRS 102 amendments applying to accounting periods beginning on or after 1 January 2026.
Invest Gatwick Region partner Menzies has brought together a range of practical resources to help businesses understand what the changes mean and prepare for their impact.
The most significant amendments relate to revenue recognition and lease accounting, with potential implications extending beyond financial statements to areas including EBITDA, profit margins, gearing, loan covenants, systems, reporting processes and business performance measures.
For businesses operating across property and construction, Menzies has produced dedicated guidance looking at how the revised revenue recognition requirements could affect long-term construction, fit-out and development contracts. The changes may affect the timing and profile of reported revenue and profit, while creating additional considerations around contract terms, performance obligations, project progress, variations and contract costs.
Menzies’ FRS 102 resources include:
- A practical FRS 102 amendments guide and impact checklist
- Sector-specific guidance across property and construction, financial services, technology, retail, hospitality and leisure, transport and logistics, and other sectors
- Resources covering the new five-step revenue recognition model
- Guidance on the revised lease accounting model
- Practical lease accounting and revenue recognition tools and frameworks
- Technical update webinars covering the changes and implementation considerations
For businesses beginning their assessment, Menzies recommends reviewing customer contracts and lease arrangements, assessing the potential financial impact, checking systems and data, updating accounting policies and disclosures, and engaging advisers and stakeholders early.
Menzies’ full FRS 102 resource hub provides access to the latest guidance, sector insights, webinars, checklists and practical tools.
Explore the Menzies FRS 102 resource hub
For businesses operating in property and construction, Menzies’ dedicated sector guide is also available:
