Companies Act 2014 section 294

Companies Act group financial statements

Section 294 sets out what Companies Act group financial statements must contain, the standards they must comply with, and the overriding requirement that they give a true and fair view of the group's financial position and results.

• Group financial statements must include a consolidated balance sheet, a consolidated profit and loss account, and any other information required by the applicable financial reporting framework
• The statements must give a true and fair view of the assets, liabilities, financial position, and profit or loss of the holding company and all undertakings included in the consolidation, taken as a whole
• The statements must comply with the relevant schedule (Schedule 4 or Schedule 4A for small companies), applicable accounting standards, and other provisions of the Companies Act, with additional disclosures or departures required where necessary to achieve a true and fair view
• Failure to comply with these requirements is a category 2 offence, though it is a defence to show that a competent and reliable person was entrusted with ensuring compliance