Well obviously, but interesting that the question is now on the official list of priorities for the UK Endorsement Board to consider.
Their summary is interesting.
- Some stakeholders have raised concerns that the requirements in IFRS 17 regarding the determination of discount rates will lead to excessive subjectivity (whether in respect of illiquidity premiums or the elimination of market and credit risk). Further, does IFRS 17 require the use of discount rates that are too high because they are in excess of risk-free rates?
- This is a pervasive aspect of IFRS 17, often with a material impact on the accounts
- An area of significant entity-level judgement
- Requirements have attracted controversy and are a primary focus for certain stakeholders
- Use of rates in excess of risk-free has (indirectly) been referred to in parliamentary debate
- Users of accounts consider this an area of potential concern due to the subjectivity and the scope for variety in rates applied
My emphasis. I discussed the ‘parliamentary debate’ issue here.