Narrative reporting: the UK experience

Abstract

Purpose

The purpose of this paper is to discuss the quality of narrative reporting of listed UK companies particularly in terms of transparency under guidance from the operating and financial review (OFR).

Design/methodology/approach

The approach taken is to rely on secondary data analysis with complementation from a limited case study of three listed UK companies.

Findings

The analysis finds that narrative reporting in the UK is generally transparent other than some weaknesses in some reporting areas and some limited evidence of creative reporting.

Research limitations/implications

Further investigation could be made on a larger sample of cases. Also, a comparative case analysis could be conducted between narrative reporting made before the current global financial crisis and shortly after the said crisis.

Practical implications

The paper highlights the general usefulness, relevance, and limitations of narrative reporting not only for corporate decision makers but also general investors, suppliers, employees, the state, and various connected community stakeholder groups.

Originality/value

This paper contributes to the enhanced understanding of narrative reporting practices for listed companies in the UK.

Citation

Yeoh, P. (2010), "Narrative reporting: the UK experience", International Journal of Law and Management, Vol. 52 No. 3, pp. 211-231. https://doi.org/10.1108/17542431011044652