UK SRS and ISSB
Investor-focused financial information.
Section · ESG
ESG
ESG reporting discloses environmental, social and governance information with its audience, framework and reporting boundary identified.
Definition
What ESG reporting is, and who asks for it
ESG reporting discloses environmental, social and governance information with its audience, framework and reporting boundary identified.
Three topics, a defined reportRequirements and evidence
Module 01 / 03
Environment
Energy, emissions and natural resources.
Module 02 / 03
People
Workforce and value-chain information.
Module 03 / 03
Governance
Oversight, controls and decisions.
Read the detailed guidance and evidence
ESG reporting is a company’s disclosure of environmental, social and governance information — part of it required by UK regulation, part of it written to voluntary frameworks such as GRI and UK SRS.
The required parts are scattered: the strategic report, the directors’ report, the company website and three government services each hold a piece.
This section explains each piece, and its guides take them one at a time.
ESG reporting is the disclosure of information about a company’s environmental, social and governance matters: its energy, emissions and resources, its people and supply chain, and how its board oversees both.
The three letters come from investment practice: Who Cares Wins, a 2004 report by twenty financial institutions, recommended integrating “environmental, social and governance issues” into financial analysis.
What turns ESG from a label into a report is a request, and the request comes from five places.
Two of them compel — regulation and the FCA’s listing rules; the other three persuade, but in practice a lender or a large customer can be as hard to refuse.
The meaning of the term is on what is ESG, and the difference from its older cousin on ESG vs CSR.
| Who asks | Why | Example |
|---|---|---|
| Parliament and ministers | A statutory duty | SECR; the modern slavery statement |
| The FCA | Listing rules | UK SRS, comply or explain from 2027 |
| Investors and lenders | Financial risk | UK SRS, IFRS S2, SASB metrics |
| Customers | Their own supply-chain reporting | Scope 3 data requests, CDP |
| Employees and communities | Impact | GRI-based reporting |
Where it goes
Where each piece of UK ESG reporting is published
A large UK company does not publish “an ESG report” to meet the law; it publishes pieces in different places, each set by its own instrument.
Annual reportsRead all decisions below
Module 01 / 03
Annual reports
Strategic and directors’ reports have distinct legal contents.
Module 02 / 03
Other destinations
Website and government-service disclosures answer different instruments.
Module 03 / 03
One evidence record
Reuse data only after checking entity, period and reporting purpose.
| Place | What goes there | Instrument |
|---|---|---|
| Strategic report | Climate-related financial disclosures; the non-financial statement; the section 172(1) statement | CA 2006 s.414CB; s.414CZA |
| Directors’ report | SECR energy and carbon; statement of corporate governance arrangements | SI 2008/410 Sch 7 |
| Company website | Modern slavery statement, linked from the homepage | MSA 2015 s.54(7) |
| Government gender pay gap service | Six pay gap metrics, and on the company website | SI 2017/172 reg 15 |
| Government payment practices service | Twice-yearly payment practices report | SI 2017/395 reg 3(2) |
| Environment Agency | ESOS notification of compliance | SI 2014/1643 |
| Annual financial report (listed) | UK SRS disclosures or explanations, from 2027 | FCA PS26/19 |
The scatter is the single most useful thing to know about ESG reporting in the UK: one data set, many destinations, each with its own deadline.
The energy and carbon piece has had government guidance since 2019, the Environmental Reporting Guidelines, which is the practical companion to the Schedule 7 text.
Which of these your company owes depends on its figures; the ESG reporting requirements page reads each test.
A voluntary standalone ESG or sustainability report can sit alongside all of them, and many large companies publish one.
Frameworks
The ESG reporting frameworks, and what each is for
A framework helps structure information without replacing the legal duties that apply to the entity.
Your purpose
GRI
Significant impacts for a wider audience.
ESRS
Double-materiality reporting within the relevant EU route.
Read the detailed guidance and evidence
A framework tells a company how to write the parts of ESG reporting the law leaves open, and what to add beyond them.
The choice turns on who is reading: investors and lenders point to the ISSB’s standards and their UK versions, a wider audience to GRI.
The ISSB issued IFRS S1 and S2 in June 2023, in its launch announcement, and the UK published its endorsed versions on 25 February 2026.
UK SRS is available for voluntary use by any entity; the FCA’s final rules make listed companies in scope report against it or explain, from 2027.
Those rules replace the proposals the FCA consulted on in CP26/5, which had put UK SRS S2 on a mandatory footing.
The frameworks are set side by side on sustainability reporting frameworks, the ISSB pair on IFRS S1 and S2, the UK versions on the UK SRS hub, the EU set on the European standards, and the climate framework on what is TCFD.
| Framework | Materiality | UK status |
|---|---|---|
| GRI Standards | Impacts | Voluntary |
| SASB Standards | Financial, by industry | Voluntary |
| IFRS S1 and S2 | Financial | Endorsed and adapted as UK SRS |
| UK SRS S1 and S2 | Financial | Voluntary; comply or explain for listed from 2027 |
| ESRS | Double | EU law; reaches UK groups through the EU |
| TCFD | Financial, climate only | A framework; disbanded 2023 |
Status
From voluntary to regulated: the UK sequence
UK ESG-related reporting has developed through separate instruments rather than one combined ESG mandate.
- 201901
SECR energy and carbon reporting began.
- 202202
Company-law climate disclosures began for their statutory population.
- 2027 periods03
The FCA's final UK SRS listed route begins.
Read the detailed guidance and evidence
ESG reporting in the UK has moved one duty at a time, not by a single ESG law.
Energy and carbon came first, climate risk second, and a general sustainability standard third — and the standard is still voluntary for everyone the listing rules do not reach.
Even for listed companies, the final rules chose comply or explain over mandation, across both standards.
The dated plan is on the UK SRS timeline and UK SRS deadline; what the FCA did is on the FCA and UK SRS.
Assurance is voluntary throughout, and the FRC’s ISSA (UK) 5000 sets how an engagement is performed; see UK SRS assurance.
- Dec 200401
Who Cares Wins sets out “ESG”
- 1 Apr 201902
SECR in force
Energy and carbon in the directors’ report.
- 6 Apr 202203
Climate-related financial disclosures
Strategic report, financial years from this date.
- 25 Feb 202604
UK SRS S1 and S2 published
Voluntary for any entity.
- 30 Sep 202605
FCA final rules, PS26/19
- 1 Jan 202706
Comply or explain begins
Listed companies in UKLR 6, 14, 15, 16 and 22.
The section
The ESG guides, one question each
The ESG hub points to dedicated guides for meaning, requirements, governance and framework decisions.
Find the answer's ownerRequirements and evidence
Module 01 / 03
Definition
Understand the term and its scope.
Module 02 / 03
Requirements
Check the duties and thresholds.
Module 03 / 03
Governance
Connect oversight to evidence and disclosures.
Read the detailed guidance and evidence
The rules
What must I report?
ESG reporting requirements in the UK — every duty, its threshold and its provision.
The pillars
What sits under E, S and G?
The ESG pillars — each pillar mapped to the UK duty or standard that asks about it.
The board
Who oversees it?
ESG and sustainability governance — directors’ duties, the Code and UK SRS S1.
The standard
How does ESG fit UK SRS?
ESG integration under UK SRS — how each topic passes the materiality test.
Regulators
Who regulates what?
The UK sustainability regulation landscape — regulators, reviews and dead policies.
Nature
What about biodiversity?
Nature-related disclosures — TNFD, the ISSB’s nature work and UK status.
Beyond the section
Related topics
Materiality · UK SRS vs ESRS · Scope 3 · SECR · UK SRS compliance · Sustainability reporting · All sections
Help
Working out your own list
Most companies start from a request — a customer questionnaire, a lender’s covenant, a new threshold crossed — rather than from the frameworks.
Evidence mapRequirements and evidence
Module 01 / 03
Key point 01
Most companies start from a request — a customer questionnaire, a lender’s covenant, a new threshold crossed — rather than from the frameworks.
Module 02 / 03
Voluntary route
The quickest route is to list the duties your figures trigger first, then decide which voluntary framework answers the requests that remain.
Module 03 / 03
Key point 01 · 2
A free 15-minute call can map your figures against the UK duties and the frameworks your customers ask for.
Talk it through
A free 15-minute call can map your figures against the UK duties and the frameworks your customers ask for.
Read the detailed guidance and evidence
Most companies start from a request — a customer questionnaire, a lender’s covenant, a new threshold crossed — rather than from the frameworks.
The quickest route is to list the duties your figures trigger first, then decide which voluntary framework answers the requests that remain.
Frequently asked
ESG reporting: frequently asked
What is ESG reporting?
ESG reporting is a company's disclosure of information about environmental, social and governance matters — its emissions and energy use, its workforce and supply chain, and how its board oversees these risks.
In the UK part of it is required by specific regulations, such as SECR and the Companies Act non-financial statement, and part of it is voluntary, written to a framework such as GRI or UK SRS because investors, lenders or customers ask for it.
Is ESG reporting mandatory in the UK?
Specific pieces are mandatory for the companies each regulation reaches: energy and carbon reporting under SECR, ESOS assessments, the climate-related and non-financial statements in the strategic report, modern slavery statements, gender pay gap reports and payment practices reports.
The ESG standards are not mandatory.
UK SRS is voluntary for any entity, and listed companies in scope report against it on a comply-or-explain basis from 2027 under the FCA's final rules.
What are the main ESG reporting frameworks?
The GRI Standards (impacts on the economy, environment and people), the SASB Standards (industry metrics for investors), the ISSB's IFRS S1 and S2 and their UK versions, UK SRS S1 and S2, the EU's ESRS, and the TCFD recommendations, which the TCFD's disbanding in 2023 left carried by IFRS S2 and UK SRS S2.
Where do UK companies publish their ESG information?
In several places at once.
Climate-related and non-financial statements and the section 172 statement go in the strategic report; SECR and the corporate governance arrangements statement go in the directors' report; the modern slavery statement goes on the company website; gender pay gap figures and payment practices reports go on government web services; and an ESOS notification goes to the Environment Agency.
What is the difference between an ESG report and a sustainability report?
Usually nothing but the name.
A standalone ESG or sustainability report is a voluntary document; the legal duties sit in the annual report and on government services, whatever the company calls its standalone report.
Does ESG reporting have to be assured in the UK?
No UK regulation requires it.
Listed companies under the FCA's final rules say whether they obtained assurance, and from whom, to what level and against which standard.
The FRC's ISSA (UK) 5000 governs how an assurance engagement is performed when a company commissions one.
Where did the term ESG come from?
It was set out in Who Cares Wins, a report published in December 2004 by twenty financial institutions convened by the UN Global Compact, which recommended better integrating environmental, social and governance issues into financial analysis and asset management.
Editorial preparation
The method behind the measure
A credible ESG figure has a defined population, calculation basis and review record.
The method behind the measureRequirements and evidence
Module 01 / 03
Boundary
Identify entities, people or activities counted.
Module 02 / 03
Calculation
Retain units, methods and assumptions.
Module 03 / 03
Review
Record corrections and approval.
Read the detailed guidance and evidence
A credible ESG figure has a defined population, calculation basis and review record.
Editorial preparation
Build the calendar from the duties
An editorial reporting calendar identifies each applicable output before assigning data and review milestones.
- 1
Identify
List the actual duties and reporting periods.
- 2
Assign
Name data owners and approval responsibilities.
- 3
Deliver
Use each instrument's filing or publication timetable.
Read the detailed guidance and evidence
An editorial reporting calendar identifies each applicable output before assigning data and review milestones.
Fictional example
A fictional shared electricity record
A fictional company uses one electricity record for different reporting outputs without merging their legal requirements.
A fictional shared electricity recordRequirements and evidence
Module 01 / 03
Source
Keep the quantity, unit, site and period.
Module 02 / 03
SECR
Produce the applicable annual statutory output.
Module 03 / 03
Climate reporting
Connect the inventory to material climate information.
Read the detailed guidance and evidence
A fictional company uses one electricity record for different reporting outputs without merging their legal requirements.
Editorial preparation
Make the next cycle repeatable
An editorial evidence index helps the next reporting team understand the choices behind this year's report.
- 1
Records
Retain the original inputs.
- 2
Decisions
Retain methods, exclusions and estimates.
- 3
Outputs
Retain the mapped and approved disclosures.
Read the detailed guidance and evidence
An editorial evidence index helps the next reporting team understand the choices behind this year's report.
Prepare the evidence
ESG: from a requirement to a reporting pack
Use this preparation sequence alongside the detailed requirements on this page.
An editorial workflow, not a statutory schedule.
- Stage 0101
Duty map
List the legal, contractual and voluntary requirements that actually apply.
- Stage 0202
Reporting lens
Distinguish financial exposure from impacts and wider stakeholder questions.
- Stage 0303
Accountability
Give each disclosure a responsible owner and a review path.
- Stage 0404
Evidence record
Retain data boundaries, methods and source documents.
- Stage 0505
Framework connections
Reuse evidence where the underlying definitions and boundaries agree.
- Stage 0606
Publication checks
Review the report for unsupported claims, omissions and contradictory statements.
Read the applicable instrument: UK Sustainability Reporting Standards: UK SRS S1 and UK SRS S2
A practical brief
An evidence pack, with a clear review trail
Ask for a pack that lets the next reviewer retrace the scope decision, follow the evidence and understand the limitations.
This describes a useful handover; it does not certify compliance or establish that a vendor or adviser delivers it.
Trace the answerScope → evidence → review
Module 01 / 04
Applicability record
Write down the entity, reporting route and relevant period, including why the route applies.
Module 02 / 04
Evidence register
Attach each reported figure or statement to its source, method, version and limitations.
Module 03 / 04
Review trail
Name the preparer, reviewer, open questions and decisions taken before publication.
Module 04 / 04
Usable handover
Retain the working files and unresolved actions so the next reporting cycle can reuse the evidence.
View the preparation diagram
- Prepare01
Create the traceable pack
Keep the input records, calculation files and narrative together.
- Challenge02
Resolve questions before publication
Record the assumptions challenged and any limitations still unresolved.
- Retain03
Make the next cycle reproducible
Keep the approved version and the actions carried forward.
Illustrative example
Turn an ESG question into evidence
Imagine an investor asking how a company manages a material sustainability issue.
A fictional preparation exercise, not a case study or a determination of compliance.
Follow the evidenceQuestion → record → answer
Module 01 / 04
The issue
Name the environmental, social or governance question.
Module 02 / 04
The exposure
Explain why the question matters to this organisation.
Module 03 / 04
The record
Connect the statement to an accountable owner and source evidence.
Module 04 / 04
The disclosure
Explain the result and limitations in the reporting lens selected.
Before publication
Four questions, before the claim leaves the page
Use these questions to expose assumptions that a polished report can otherwise conceal.
Challenge the answerMake the limits visible
Module 01 / 04
Audience
Who needs the information and for which decision?
Module 02 / 04
Lens
Is the question about financial exposure, impacts or both?
Module 03 / 04
Method
Are the period and measurement basis stated?
Module 04 / 04
Claim
Does the wording say more than the evidence supports?
Continue your research
Related guides, one question at a time
Sources
Primary sources
Every figure, date and status on this page traces to the instrument’s owner.
Secondary commentary is never the source for a number.
Checked against 20 sources fromDepartment for Business and TradeFinancial Conduct AuthorityIFRS Foundationlegislation.gov.ukDepartment for Energy Security and Net Zero and DefraGRI
- Department for Business and TradeUK Sustainability Reporting Standards: UK SRS S1 and UK SRS S2
Published 25 February 2026.
- Department for Business and TradeUK Sustainability Reporting Standards — guidance
“Available for voluntary use, by any entity that chooses to do so.”
- Financial Conduct AuthorityPS26/19: Aligning listed issuers' sustainability disclosures with international standards
Comply or explain against UK SRS for UKLR 6, 14, 15, 16 and 22 from 1 January 2027.
- Financial Conduct AuthorityCP26/5 — Sustainability disclosures (consultation page)
The consultation the final rules replaced.
- IFRS FoundationISSB issues inaugural global sustainability disclosure standards (news release, June 2023)
- IFRS FoundationIFRS Sustainability Standards Navigator
- legislation.gov.ukSI 2008/410 Schedule 7 (directors’ report: SECR in Parts 7 and 7A; governance arrangements in Part 8)
- Department for Energy Security and Net Zero and DefraEnvironmental reporting guidelines, including SECR requirements
Last updated 29 March 2019.
- legislation.gov.ukCompanies Act 2006, section 414CB (non-financial and sustainability information statement)
- legislation.gov.ukCompanies Act 2006, section 414CZA (section 172(1) statement)
- legislation.gov.ukModern Slavery Act 2015, section 54(7)–(8)
Website publication with a homepage link.
- legislation.gov.ukSI 2017/172, regulation 15
Gender pay gap: own website and the government’s designated site.
- legislation.gov.ukSI 2017/395, regulation 3(2)
Payment practices: the government web service, within the 30-day filing period.
- legislation.gov.ukSI 2014/1643 Schedule 1 ¶1 (ESOS large undertaking)
- GRIThe GRI Standards
- IFRS FoundationSASB Standards overview
- European CommissionCommission adopts revised sustainability reporting standards, 3 July 2026
- TCFDRecommendations of the TCFD, Final Report, June 2017
- Financial Reporting CouncilISSA (UK) 5000
Periods beginning on or after 15 December 2026.
- The Global Compact (World Bank repository copy)Who Cares Wins — Connecting Financial Markets to a Changing World, December 2004
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