RQIA Annual Report & Accounts 2011-12 - Regulation and Quality ...

1.23 Third Party Assets
RQIA does not hold assets belonging to third parties.
1.24 Government Grants
Government assistance for capital projects whether from UK, or Europe,
were treated as a Government grant even where there were no conditions
specifically relating to the operating activities of the entity other than the
requirement to operate in certain regions or industry sectors. Such grants
(does not include grant-in-aid) were previously credited to a government
grant reserve and were released to income over the useful life of the asset.
DFP has issued new guidance effective from 1 April 2011 under which
government grant reserves are no longer permitted. Income is generally
recognised when it is received. In exceptional cases where there are
conditions attached to the use of the grant, which, if not met, would mean the
grant is repayable, the income should be deferred and released when
obligations are met.
This change did not have any significant impact on RQIA‟s accounts.
RQIA‟s government grant reserve was depleted in 2010-11 and restatement
of the 2010-11 figures is not required.
1.25 Losses and Special Payments
Losses and special payments are items that the Assembly would not have
contemplated when it agreed funds for the health service or passed
legislation. By their nature they are items that ideally should not arise.
They are therefore subject to special control procedures compared with the
generality of payments. They are divided into different categories, which
govern the way that individual cases are handled.
Losses and special payments are charged to the relevant functional
headings in expenditure on an accruals basis, including losses which would
have been made good through insurance cover had RQIA not been bearing
their own risks (with insurance premiums then being included as normal
revenue expenditure). However, the note on losses and special payments
is compiled directly from the losses and compensations register which
reports amounts on an accruals basis with the exception of provisions for
future losses.
1.26 Accounting Standards that have been Issued but have not yet been
Adopted
Under IAS 8 there is a requirement to disclose those standards issued but
not yet adopted.
Management has reviewed the new accounting policies that have been
issued but are not yet effective, nor adopted early for these accounts.
Management consider that these are unlikely to have a significant impact
on the accounts in the period of the initial application.
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