UK government launches consultation on ISSB adoption

Department of Business and Trade also consults on sustainability assurance and climate transition plans

The UK is seeking feedback on planned Sustainability Reporting Standards (SRS) based on the work of the International Sustainability Standards Board (ISSB).  

The long-awaited consultation, launched today (Wednesday), centres on how the government should integrate the ISSB’s first two standards – on general reporting and climate disclosures – into a new national framework. 

The exposure draft adheres closely to advice given by the government’s technical advisory committee (TAC) back in December. It includes a handful of minor changes to tailor ISSB to the UK market.  

For example, it proposes replacing references to the Global Industry Classification Standard with any “internationally recognised industry classification system”.  

And, while the TAC wanted to use the word “shall” when talking about the requirement for companies to use SASB sector standards where relevant, the government decided that “could result in entities being required to prove – with evidence – how they have considered the materials when asked to do so by their assurance provider”.

As a result, it plans to swap “shall” for “may” in the SRS – a change Real Economy Progress reported was on the cards in April. 

The consultation, which seeks to understand the “costs and benefits of using the UK SRS”, is open until September 17th.   

The government has also launched consultations on the assurance of sustainability reporting and on climate transition plan requirements, which run for the same period.