CSRD: EU Efforts To Reduce Reporting Burden Continue

Corporate sustainability reporting rules under CSRD first apply from 1 January next year.

Once fully applicable, CSRD will require all large and EU listed (other than micro) companies, along with non-EU companies with significant EU activities, to report both on the environmental and social risks and opportunities for their business and the impacts of their activities on people and planet.

However, even before the CSRD becomes applicable next year, the EU has relented to sustained pressure for a reduction of the sustainability reporting burden in three key ways.

1. Firstly, by replacing the original proposal for largely mandatory reporting across approximately 1,400 sustainability data points with a requirement to report only on those which are material to the reporting company on a self-assessment basis. See here for further details.