Research from KPMG has found that nearly all of the world’s largest companies are now reporting on sustainability. They are doing so by reporting on material topics in line with the European Sustainability Reporting Standards (ESRS), which requires large businesses to enhance their environmental disclosures by embedding them in annual reports from 2024. These Standards will then be mandated for medium-sized businesses in phases through to 2026.

The influx in quantity and granularity of reporting requirements has been both a burden and a blessing for sustainability professionals. Previous Business Tracker reports from edie have highlighted that in-house sustainability professionals are allocated more time than ever before to reporting and disclosure, but that big frameworks such as CSRD and TNFD are unlocking more value and buy-in internally.

It is easy to see why reporting and disclosure were listed as a business-critical priority by 22% of companies, and a high priority by 48% in our previous Business Tracker report. Indeed, it was the highest ranking priority in terms of in-house sustainability actions listed by respondents at the time.

There have been developments to the reporting regime that have lessened the requirements for a lot of businesses.

The European Commission wants to ‘streamline’ two of its flagship sustainability reporting mandates, under ‘Omnibus’ proposals that will impact how tens of thousands of businesses prepare.

The Omnibus proposals were released on 26 February 2025, following months of speculation and a string of much-criticised closed-door meetings. They are part of the EU’s plan to reduce reporting obligations by 25% for large private firms and 35% for SMEs.

One of the most significant changes in the Omnibus package is the reduction of the CSRD’s scope. Should the EU’s package pass Parliamentary votes, around 80% of companies originally set to be subject to mandatory CSRD requirements will be exempt. The Commission wants to shift the focus to the largest companies only.