The International Integrated Reporting (IR) Framework (2013) identified providers of financial capital as its primary users. This research provides evidence from 22 mainstream UK equity market actors regarding the decision usefulness and diffusion of IR, as a reporting innovation, to them.

Despite institutional-level support for IR, the interviews reveal that its use and diffusion to UK fund managers and equity analysts is low. Concerns are evident over the Framework design and its relevance to more structural issues pertaining to equity market culture. The implication of this is that IR may become a reporting fad, not embedded into mainstream investment thinking.

By: Richard Slack, Durham Business School and Ioannis Tsalavoutas, University of Glasgow – Accounting and Finance Group

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