EU publishes final simplified sustainability reporting standards
The revised rules cut mandatory data points by 61% and will apply to financial years starting Jan. 1, 2027.
The European Commission has published its final revised European Sustainability Reporting Standards (ESRS) in the Official Journal of the European Union (EU), completing a more than yearlong effort to simplify corporate sustainability disclosure.
The standards apply to companies covered by the Corporate Sustainability Reporting Directive (CSRD). They take effect Nov. 10, 2026, for financial years beginning Jan. 1, 2027. The Commission also published a voluntary reporting standard for smaller companies.
The overhaul stems from the Commission's Omnibus I simplification package, approved by EU lawmakers earlier this year, which cut the number of companies required to report by 90%. It raised the reporting threshold to 1,000 employees and 450 million euros in revenue, up from the previous threshold of 250 employees.
The European Financial Reporting Advisory Group (EFRAG), which drafted the original standards, proposed cutting mandatory data points by 61% and eliminating all voluntary disclosures, reducing total data points by more than 70%. The Commission adopted the final texts in July with minor changes.
Companies below the CSRD threshold can limit the sustainability information that larger business partners request from them to what the new voluntary standard covers.
This brief is based on reporting by Mark Segal, published Sept. 22, 2026, on ESG Today. Read the original: https://www.esgtoday.com/eu-publishes-final-revised-european-sustainability-reporting-standards-in-official-journal/
This article was produced with the assistance of AI tools and reviewed by an editor before publication.
