Laura WilesThe Department for Business and Trade has updated on the Government’s framework creating UK Sustainability Reporting Standards (SRS).
In 2023, the International Sustainability Standards Board published standards concerning general requirements for the disclosure of sustainability related financial information (IFRS S1) and climate-related disclosures (IFRS S2). The Government plans to establish a framework for assessing and endorsing the global corporate reporting baseline of these standards in the UK.
If there are affirmative endorsement decisions, the first two UK SRS, based upon IFRS S1 and S2, will be created as part of a wider sustainability disclosure reporting framework led by HMT. These decisions are anticipated by Q1 2025
Once endorsed, the FCA will – subject to consultation – be able to use the standards to introduce requirements on UK-listed companies. The Government will also decide on disclosure requirements against the standards for companies beyond the FCA’s regulatory perimeter.