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IFRS 15 recognises revenue when or as a performance obligation is satisfied by transferring the promised good or service to the customer.

A provision requires a present obligation from a past event, a probable outflow of resources and an amount that can be estimated reliably.

IAS 37 measures a provision at the best estimate of the expenditure required to settle the present obligation at the reporting date.

If the required outflow is not probable, the item is generally treated as a contingent liability rather than recognised as a provision.

For an obligation satisfied over time, the entity uses an appropriate measure of progress toward complete satisfaction.

The FRC states that the Periodic Review 2024 amendments have a principal effective date of 1 January 2026; early application is permitted.