UK Finance response to IFRS 9 Financial Instruments Impairment

A response to the IASB’s Amendments to the Post-implementation Review IFRS 9 Financial Instruments Impairment September 2023

UK Finance has responded to the IFRS’s request for information on its approach to the impairment treatment of financial instruments highlighting the unhelpful procyclicality of the standard and suggesting a number of areas for reconsideration, including the need for simplification of the currently very complex impairment modeling approaches and the need for more guidance from the IASB on judgements and assumptions used in ECL, sensitivity analysis and post model adjustments.