CSRD and sustainability reporting

Integrating sustainability into strategy, risk management and value creation 

The Corporate Sustainability Reporting Directive (CSRD) is fundamentally reshaping the landscape of sustainability reporting in Europe. Organisations are no longer reporting solely on environmental, social and governance (ESG) factors. They are now also required to provide insight into how sustainability is integrated into their strategy, risk management and value creation.

The CSRD introduces stricter requirements for transparency and substantiation than previous regulations. These include:

• Double materiality: what impact does your organisation have on people and the environment, and which sustainability developments affect your organisation?
• ESRS standards: reporting in line with European sustainability reporting standards.
• External assurance: independent verification of sustainability information.
• Integration into strategy and governance: sustainability as an integral part of decision-making and risk management. 

We help organisations translate sustainability challenges into concrete choices, reliable reporting and future-proof growth. 

Who does the CSRD apply to? 

On 16 December 2025, the European Parliament approved the Omnibus Ⅰ‑simplification package. These changes have now been formally adopted within the European Union. The aim is to reduce administrative burdens for companies while maintaining a strong focus on sustainable business practices. 

The current scope is as follows:

Wave 1

Listed companies that were already subject to previous regulations have been reporting in accordance with the CSRD since the 2024 financial year. 

Wave 2

Large companies that are not public-interest entities (PIEs), have more than 1,000 employees and generate more than €450 million in revenue will report for the first time for the 2027 financial year. Their sustainability report will be published in 2028.

Non-European companies

Non-European companies fall within the scope of the CSRD when they generate more than €450 million in revenue within the European Union and their subsidiaries or branches in the EU collectively achieve more than €200 million in revenue. 

Wave 3

Smaller companies that fall outside the mandatory scope can choose to report voluntarily under the VSME standard (Voluntary Sustainability Reporting Standard for SMEs). This standard offers a practical and proportionate way to provide insight into sustainability performance.