Thematic Review on
Sustainability Reporting
Details
This thematic review assesses sustainability reporting in central
government annual reports and accounts, focusing on the
effectiveness, relevance and usability of disclosures. It
examines compliance with HM Treasury's Sustainability Reporting
Guidance (SRG), alignment with user needs, and the relationship
between the SRG, Greening Government Commitments (GGCs), and
developing regulation and international frameworks (e.g., the
Task Force on Climate-related Financial Disclosures).
Findings highlight variation in reporting quality and scope, with
calls for clearer, more consistent requirements. Stakeholders
supported simplifying mandatory reporting, exploring alignment
with international standards, tailoring to organisation size, and
focusing on material, decision-useful information.
Key challenges include inconsistent reporting boundaries, complex
frameworks, and limited comparability. Feedback supports
consolidating guidance (where possible), and separating
supplementary sustainability information from annual reports.
In response, HM Treasury will decouple the SRG from the GGCs,
simplify mandatory requirements, and issue updated,
principles-based guidance. Further engagement with the Financial
Reporting Advisory Board and stakeholders will explore a more
unified going forward
