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Accounting Requirements

Volume 454: debated on Monday 11 December 2006

To ask the Secretary of State for Defence what financial information is produced by management groupings, which, under the Simplify and Improve initiative, are not required to produce annual accounting statements. (106946)

Management groupings which no longer complete annual financial accounting statements as part of the process of producing the MOD's Annual Report and Accounts, continue to produce the management accounting information needed for local and departmental financial management purposes. They continue to record and forecast costs as part of the Department's in-year management processes, and to use detailed financial data, as appropriate, for local decision-making. In addition, where these management groupings have agency status, they continue to produce annual accounts in accordance with the accounts directions issued by HM Treasury.