Mandatory ISSB-aligned climate disclosures are one step closer to becoming a reality in the UK. After years of work, the UK published the final UK Sustainability Reporting Standards (UK SRS). These ISSB-aligned standards are broken into UK SRS S1 and UK SRS S2. For now, use of the standards is voluntary, but the Financial Conduct Authority (FCA) is in the process of amending UK Listing Rules, making the UK SRS mandatory for certain companies. The UK Government states in a press release:
“Following this consultation process, the UK government has now published the finalised versions of UK SRS S1 and UK SRS S2. The standards are available for voluntary use, by any entity that chooses to do so.
Subsequently, the government and the Financial Conduct Authority (FCA) will consider whether to introduce requirements for certain UK entities to report against these standards. The FCA is currently consulting on amendments to the UK Listing Rules. The consultation is open until 20 March 2026.”
Assuming the FCA regulations are adopted as proposed, we’ll see Scope 1 and Scope 2 emissions reporting required in 2027. Scope 3 disclosures will follow in 2028. It’s been a long road for the UK with several delays but mandatory sustainability disclosures are just on the horizon. The UK economy will mark another major global economy utilizing the ISSB’s reporting framework.
Our members can learn more about sustainability disclosures here.
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