ICAEW’s public sector team examines some key differences between International Financial Reporting Standards and International Public Sector Accounting Standards, and the suitability of each in public sector financial reporting. Financial reporting is the process of recognising, measuring and disclosing information that enable users to get an informed view of the financial position and performance of an entity that should allow them to make useful decisions and hold the entity to account. Measurement goes right to the heart of financial reporting and can involve complex models and judgement and can therefore be quite subjective. In April 2021, the International Public Sector Accounting Standards Board (IPSASB) issued an exposure draft on a new measurement standard covering all major measurement bases and techniques. There is an International Financial Reporting Standard (IFRS) on fair value (IFRS 13) but fair value is just one of many measurement bases available. The IPSASB standard appears to be broader in scope.