Under Paragraph 3 of Schedule 1 to the Science and Technology Act 1965, the Secretary of State for Business, Innovation and Skills, with the approval of HM Treasury, has directed EPSRC to prepare for each financial year a Statement of Accounts in the form and on the basis set out in the Accounts Direction. The Accounts are prepared on an accruals basis and must give a true and fair view of the state of affairs of EPSRC and of its income and expenditure, changes in taxpayers’ equity and cash flows for the financial year.
In preparing the Accounts the Accounting Officer is required to comply with the requirements of the Government Financial Reporting Manual and in particular to:
- observe the Accounts Direction issued by the Secretary of State for Business, Innovation and Skills, including the relevant accounting and disclosure requirements and apply suitable accounting policies on a consistent basis;
- make judgements and estimates on a reasonable basis;
- state whether applicable accounting standards as set out in the Government Financial Reporting Manual have been followed and disclose and explain any material departures in the financial statements; and
- prepare the financial statements on a going concern basis.
The Department for Business, Innovation and Skills has appointed the Chief Executive as the Accounting Officer of EPSRC. The responsibilities of an Accounting Officer, including responsibility for the propriety and regularity of the public finances for which the Accounting Officer is answerable, for keeping proper records and for safeguarding EPSRC’s assets, are set out in the Accounting Officers’ Memorandum, issued by HM Treasury and published in ‘Managing Public Money’.