Leaseurope issued an update paper on the status of the International Accounting Standards Board’s (IASB) project to develop a new accounting standard for leasing, concluding that none of the five main objectives of the project are likely to be achieved by the current proposals.

The update shows that the current proposals will put business investment at risk and so damage the growth prospects of European businesses, in direct conflict with the European Union’s agenda for growth.

Mark Venus, chairman of the Leaseurope’s Accounting Committee said, “Particularly at a time when the European Central Bank is investing heavily in facilitating credit provision to improve the business environment for European firms, the IASB should not issue a new Leases standard until it is clear that the project objectives will be achieved.”

To view the full Leaseurope update, click here.