New Social and Environmental Reporting Rules for Large Companies from 2024
On the 21st of June 2022, the Council and the European Parliament reached a provisional agreement on the Corporate Sustainability Reporting Directive (CSRD), setting compulsory reporting criteria on environment, social affairs, and governance for large companies and listed SMEs from 2024.
The application of the regulation will take place in three stages:
1 January 2024 for companies already subject to the non-financial reporting directive;
1 January 2025 for companies that are not presently subject to the non-financial reporting directive;
1 January 2026 for listed SMEs, small and non-complex credit institutions, and captive insurance undertakings.
Reporting must be certified by an accredited independent auditor or certifier also for non-European companies, which could be either a European auditor or one established in a third country.
Next steps
The directive will enter into force after the approval of the Permanent Representative Committee (COREPER) and 20 days after its publication in the EU Official Journal. After these steps, the Member States are expected to commute the directive into their national law by the end of 2022.
How to get ready?
The first set of standards will be released by EFRAG by November 2022. That is why it is fundamental for your company to get ready as soon as possible.
If you need assistance to disclose your sustainability reporting according to the new standards, do not hesitate request our EU alignment service.
For more information:
EU Affairs Project Manager
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