The European Commission adopted the Corporate Sustainability Reporting Directive (CSRD) on 21 April 2021. One of the aims of the new Directive is to nudge investors towards sustainable investments.
At this time, it is only large public-interest entities (PIEs) and listed companies in the European Union that are required to disclose non-financial information in their management report.
Sustainability reporting requirement extended to
large companies starting from 2023
Alongside large listed companies and PIEs, all small and medium-sized listed companies and all large companies will also be expected to abide by the new binding EU standards for sustainability reporting once the Directive comes into force. Large listed companies and PIEs will be subject to this requirement from the financial year 2023 onwards. The requirement will not come into effect for small and medium-sized listed companies until the financial year 2026.
Implications of CSRD
The Directive is expected to have particularly far-reaching consequences for large companies that were exempt from having to disclose non-financial and sustainability information earlier.
The enclosed fact sheet discusses the background of the new Directive, its implications for your business and the steps you can take at this point to make your sustainability reporting relevant and reliable.
More information
Please do not hesitate to contact us if you have any questions about the Directive or you need our help with implementing it in your business.
Would you like more info?
Please fill out the following form to access the download.