The European Commission has adopted the Omnibus I simplification package which proposed to limit mandatory sustainability reporting under the Corporate Sustainability Reporting Directive (CSRD) to large companies with more than 1,000 employees. The voluntary standard for SMEs (VSME) was developed by EFRAG, the Commission's technical advisory body for sustainability reporting.
The ability to produce electricity from sunlight was discovered in 1839 by Edmond Becquerel, the first solar cells were patented by Charles Fritts in 1883, and Bell Laboratories created the first commercially viable silicone solar panels in 1954. Yet, despite solar power’s long-established presence, it remains a key component of current sustainable energy strategies and an important contributor to commercial ESG performance. Advancements in solar technology, and governmental policy shifts, are making solar energy an even more valuable sustainability initiative for UK businesses.
Materiality is used to judge the impact that a specific business risk or opportunity could have on a company and its shareholders, typically in financial terms, and therefore whether they should include it in corporate reports. For example, the cost of switching suppliers post-Brexit could be large and may affect your profits and shareholders’ decisions. But the cost of choosing one item of stationery over another is small and therefore immaterial. Insufficient data can undoubtedly lead to an inaccurate picture of ESG impacts and perceptions of greenwashing. Determining non-financial materiality is littered with challenges. “It tends to take three years…
While many organisations are making strides in sustainability and ethical governance, the “S” in ESG - Social impact often remains underdeveloped. At the heart of this social dimension lies a critical imperative: diverse talent. Twenty years into the Environmental, Social, and Governance (ESG) movement, we are finally asking the tough questions: i). Is this real progress, or just improved reporting? ii). Are our net-zero commitments realistic or are we setting ourselves up for failure? iii). Who and How do we pay for it all?
As the UK continues to establish its position as a global film and television production hub, an increasing environmental impact of this work is compelling the industry to consider its carbon footprint. In 2023, the UK film and television industry saw its carbon emissions per hour of content rise by 33% to 16.6 tonnes of CO2 equivalent (tCO2e/hr). This surge occurred despite rising awareness of the importance of sustainability in media production and increased environmental efforts.
Environmental, Social, and Governance (ESG) factors are becoming a central consideration in how companies are valued, audited, and invested in - especially within long-term institutional portfolios like pension funds. Yet, while some companies are expanding their ESG commitments, others are scaling back, influenced by shifting political, economic, and regulatory landscapes. For aspiring accountants and those studying for qualifications like ACA, ACCA, or CIMA, understanding how ESG developments impact financial reporting, investment analysis, and regulatory obligations is increasingly critical - not only for exam success but also for shaping future career trajectories.
Although valid questions have been raised about ESG, the need for companies to understand and address their externalities is likely to become essential to maintaining their social license.
In this article, we reflect on key trends in ESG over the first half of 2025 and look ahead at what to watch in the second half of 2025. We analyse developments, including the following major themes: - EU Omnibus Proposals – Continued Deferral in the Introduction of CSRD and CS3D - A First Look at This Year’s EU CSRD Reports - Comprehensive Overhaul of the UK’s ‘Transparency in Supply Chains’ Guidance - ESG in the Updated UK Stewardship Code - The UAE’s New Climate Law
Whilst historically, climate-related litigation has been focused on governments, a report published last year by the Grantham Research Institute on Climate Change and the Environment showcased how, in recent years, climate litigation is being initiated more frequently against corporations for alleged Environment, Social and Governance (“ESG”) failings. One company who found themselves under fire for alleged “greenwashing” was Coca-Cola.
