Independent reference · Every figure sourced · Updated July 2026

UK SRS: the UK Sustainability Reporting Standards

The UK Sustainability Reporting Standards are the UK’s corporate sustainability reporting regime — two standards, S1 and S2, published by the Department for Business and Trade on 25 February 2026 for voluntary use, with the FCA proposing to make S2 mandatory for around 515 listed companies from 1 January 2027.

This page is the whole regime in order: what it asks, who it catches, when, and what to do about it.

~515 UK-listed companies in the FCA’s proposed scope
— days until 1 January 2027 — the first reporting year
— days until 5 December 2027 — the ESOS Phase 4 deadline
Check your scope Three questions · nothing leaves your browser
The short answer is one flick down

What UK SRS is, in one breath

The UK Sustainability Reporting Standards ask a company to explain, in its annual report, how sustainability affects the business — and to put a number on the part of it that is climate.

That is the whole idea. Everything else is detail about who has to do it and when.

There are two standards. UK SRS S1 covers sustainability-related risks and opportunities in general: governance, strategy, risk management, metrics and targets [3]. UK SRS S2 covers climate specifically, including greenhouse gas emissions across Scope 1, Scope 2 and Scope 3, and scenario analysis [4].

Both are the UK’s versions of standards the International Sustainability Standards Board issued in June 2023 — IFRS S1 and IFRS S2 — with six UK-specific amendments [2].

The standards in one card
What is it?
Two standards — S1 (sustainability in general) and S2 (climate) — published by DBT on 25 February 2026.
Do I have to?
Not today. Both are voluntary. The FCA has proposed making S2 mandatory for listed companies.
From when?
Accounting periods beginning on or after 1 January 2027, if the FCA confirms. First reports in 2028.
Who does it catch?
Around 515 UK-listed companies across five UK Listing Rule categories. Not private companies — not yet.
SOURCE: DBT publication 25 Feb 2026 [1]; FCA CP26/5 scope and timing [5][7][25]
Chapter 01 / 17

The full definition, with the six amendments set out one by one, is on what UK SRS is: S1 and S2 explained.

Everything above is the announcement.

Below is what it does to a company.

A finance director finds out in the wrong order

An illustrative case — not a real company.

A premium-listed manufacturer, December year end. The finance director has reported under the TCFD-aligned listing rules for three years. It has been fine. The disclosure is four pages, it is qualitative, and nobody has ever asked a hard question about it.

In autumn 2026 the FCA publishes its Policy Statement. The TCFD-aligned rules are deleted and replaced by UK SRS S2 [22].

The financial year starting 1 January 2027 is now the first reporting year. The first report lands in 2028 [27].

Three things have changed under him, and none of them were announced as a change to his job.

Scenario analysis now has to be financially quantified, not narrative. Emissions have to follow the GHG Protocol Corporate Standard. And the disclosures have to be connected to the financial statements — same period, same publication, consistent assumptions [28][37].

None of that is a reporting problem. It is a data problem, a governance problem and a timetable problem, and he has found it eighteen months late.

Three things changed under him
Narrative scenarios Financially quantified scenario analysis
Emissions, broadly GHG Protocol Corporate Standard, Scope 1, 2 and 3
A standalone disclosure Connected to the financial statements — same period, same day
SOURCE: S2 scenario and emissions requirements [4][37]; S1 connectivity [28]

The way out is not enthusiasm. It is knowing the sequence before it starts.

Background and governance of the UK Sustainability Reporting Standards

Four bodies, four different jobs. Most confusion about the UK Sustainability Reporting Standards comes from attributing one body’s work to another.

The ISSB writes the global baseline. It is a standard-setting board of the IFRS Foundation [157], and it issued IFRS S1 and IFRS S2 in June 2023 [53].

DBT — the Department for Business and Trade — decides whether the UK adopts them, and publishes the resulting UK standards. It published UK SRS S1 and UK SRS S2 on 25 February 2026 [55].

The FRC does not publish the UK Sustainability Reporting Standards. It provides the secretariat for the technical assessment, and it is developing the assurance standard [69].

The FCA decides whether listed companies must apply them, through the Listing Rules. That is what CP26/5 proposes [5].

Endorsement route 4 stages
ISSB issues
IFRS S1 & S2, June 2023 — the global baseline.
TAC assesses
The UK Sustainability Disclosure Technical Advisory Committee makes an independent technical assessment and recommends endorsement. FRC secretariat.
PIC advises
The Policy and Implementation Committee advises on the wider public-good and implementation questions. Minutes are published.
DBT publishes
Ministers decide. DBT publishes the endorsed standard.
SOURCE: Framework and Terms of Reference for the Development of the UK Sustainability Reporting Standards [159]; FRC UK Sustainability Disclosure TAC [160][161]
How the UK Sustainability Reporting Standards fit together — UK SRS S1 covers governance, strategy, risk and metrics; UK SRS S2 covers climate and Scope 1, 2 and 3 emissions
The two standards, and what each one asks for SOURCE: S1 & S2 as published by DBT, 25 February 2026 [1][3][4]
What it is
Two standards — S1 (general) and S2 (climate)
Published
25 February 2026, by DBT, for voluntary use
Mandatory from
1 January 2027 for S2, proposed — not yet law
Based on
IFRS S1 and IFRS S2 (ISSB), plus six UK amendments
In scope
~515 UK-listed companies, under the FCA’s proposal
Materiality
Enterprise value — single, not double

The phrase to hold on to is sustainability reporting standards — the UK now has its own set, and they have a name and a publication date rather than being a general aspiration.

Two things about the UK Sustainability Reporting Standards surprise people who arrive from the news coverage.

The first is that publishing a standard and mandating it are separate acts, done by different bodies, months apart. DBT published; the FCA is consulting on mandating. Chapter 2 explains why that split exists.

The second is how narrow the initial population is. Coverage tends to describe this as a change to UK corporate reporting generally. As proposed, it is a change to the Listing Rules affecting roughly 515 companies [25].

If you are not one of them, the standards are still relevant to you — because your listed customers are going to ask you for the data that feeds their Scope 3, and because the Modernising Corporate Reporting programme is where the private-company question gets settled [24].

Why this matters practically: a new ISSB standard does not automatically apply in the UK. Nature and human-capital standards, when they come, have to go through this same route before they enter the UK Sustainability Reporting Standards [15].

There is one more distinction worth making early, because it is the source of a recurring error in secondary coverage: the FRC did not publish the UK Sustainability Reporting Standards. DBT did. The FRC provides the TAC secretariat and is building the assurance side [21].

The endorsement route also explains the six amendments. The UK did not simply adopt IFRS S1 and IFRS S2 unchanged; the assessment process produced UK-specific modifications, including the transitional reliefs and the permissive treatment of SASB and sector materials [2][41].

That matters for anyone reading international guidance. Advice written against IFRS S1 and IFRS S2 is nearly right for the UK, and the places it is wrong are precisely the six amendments.

Chapter 02 / 17

The endorsement machinery in full, including the Modernising Corporate Reporting programme that will decide the private-company question, is set out on the UK SRS legislation page.

Who is in scope of the UK Sustainability Reporting Standards

The number to hold on to is ~515. It is smaller than almost everyone expects, and the reason it is small is the whole story of how the UK has approached this.

UK SRS S1 and S2 as published are voluntary. A standard does not compel anybody by existing. What makes a standard mandatory is a separate legal instrument [1].

For listed companies, that instrument is the FCA’s Listing Rules, and CP26/5 is the proposal to change them [5]. It covers five UK Listing Rule categories — UKLR 6, 14, 15, 16 and 22 [7].

Add those categories together and you get roughly 500 to 515 UK-listed issuers [25]. That is the population. Not every large company, not every company that reports under SECR, not private companies at all — not yet.

The two populations one mark = 130
~515
in the FCA’s proposed scope
Five UK Listing Rule categories — UKLR 6, 14, 15, 16 and 22. Four marks.
~11,900
already reporting under SECR
A different, larger regime — different thresholds, different regulator. Ninety-two marks: SECR is roughly 23× the size.

The gap between those two numbers is the most useful thing on this page.

SOURCE: ~500 in-scope issuers, FCA CP26/5 [25]; UKLR categories [7]; ~11,900 SECR entities [10]

If you are one of the roughly 11,900 entities in SECR, you are not automatically in the UK Sustainability Reporting Standards [10]. The two regimes have different scopes, different thresholds and different regulators, and the government has said it will look at the interaction between them to reduce duplication rather than merge them [23].

Private companies are the open question. The Modernising Corporate Reporting programme, announced in October 2025, is where it gets answered, and DBT is expected to consult on private-company application later in 2026 [24][86].

How the ~515 figure is derived

The number is not an estimate of who should report. It is a count of issuers in five named UK Listing Rule categories, taken from the FCA’s own analysis in CP26/5 [7][25].

That is why it moves slightly between sources: ~500 and ~515 both circulate, depending on the date the register was counted and which categories are aggregated. Both describe the same population.

The practical test is simpler than the number suggests. If your securities are admitted under UKLR 6, 14, 15, 16 or 22, you are in the proposed scope. If they are not — including AIM — you are not [7].

Group structures and subsidiaries

Scope attaches to the listed entity, not to every company in its group. A subsidiary of an in-scope listed parent does not acquire its own obligation under the UK Sustainability Reporting Standards.

It will, however, be asked for data, because the parent’s consolidated disclosures have to cover it. That request is the practical way most private companies first meet this regime.

Chapter 03 / 17

The thresholds in detail are on UK SRS thresholds; the category-by-category breakdown is on who is in scope of the UK Sustainability Reporting Standards.

Chapter 04 · Qualification checker

Is your company in scope?

Three questions to determine whether the UK Sustainability Reporting Standards apply to your organisation, and when. Nothing is sent anywhere — the whole check runs in your browser.

Qualification checker3 questions
Step 1 of 3 — Listing status

Is your company listed on the UK Main Market (London Stock Exchange — not AIM)?

SOURCE: FCA CP26/5 ¶3.4 (UKLR categories) [7]; ~500 in-scope issuers [25]

The UK SRS reporting timeline the announcement doesn’t give you

Five dates decide everything. Two have happened; three have not.

June 2023
ISSB issues IFRS S1 and IFRS S2
The global baseline the UK standards are built on. [38]
30 January 2026
FCA publishes CP26/5
The consultation proposing mandatory UK SRS S2 for listed companies. It closed on 20 March 2026. [5]
25 February 2026
DBT publishes UK SRS S1 and S2
Final standards, for voluntary use. This is the date the regime exists from. [1]
1 January 2027
First UK SRS reporting year begins
Accounting periods starting on or after this date, for in-scope listed companies. [5][27]
2028
First reports published
Covering the 2027 accounting period. Also the year the Scope 3 relief runs out. [8][27]
2029
S1 relief expires
The two-year relief on full S1 application ends here. [8]
UK SRS timeline from the February 2026 publication through the proposed 1 January 2027 start to first reports in 2028 and the S1 relief expiring in 2029
Publication to first report, and the two reliefs SOURCE: FCA CP26/5 [5]; transitional reliefs [8]; first reports 2028 [27] — PROPOSED, pending the FCA Policy Statement

What UK SRS reporting means month by month for a December year end

An illustrative sequence for a company whose financial year runs January to December — the most common UK pattern.

Now – autumn 2026Gap analysis against S2. Find out which Scope 3 categories you cannot currently calculate.
Autumn 2026FCA Policy Statement expected. Confirm you are in one of the five UKLR categories.
Q4 2026Governance in place: board oversight, management responsibility, the reporting calendar.
1 Jan 2027Reporting year begins. Data collection has to be running from day one — you cannot reconstruct a year of Scope 1 and 2 in arrears.
Through 2027Quantified scenario analysis, transition-plan position, connectivity with the financial statements.
31 Dec 2027Year end. The reporting period is closed.
2028First report published, alongside the annual report and covering the same period.
Illustrative sequence built from the cited dates [5][8][27][28]. Not a compliance schedule for any specific company.
Chapter 04 / 17

Every date, including the ones that have already moved, is tracked on the UK SRS timeline, and the FCA consultation is tracked on the CP26/5 tracker.

UK SRS S1 in practice

S1 is the general standard. It asks four questions, and they are the same four questions TCFD asked — which is not an accident.

01
Governance
Who on the board oversees sustainability-related risks and opportunities, and through what process.
02
Strategy
How those risks and opportunities affect the business model, strategy and cash flows — over the short, medium and long term.
03
Risk management
How they are identified, assessed and monitored, and how that fits the company’s wider risk process.
04
Metrics and targets
What is measured, against what targets, and how performance is tracked.
SOURCE: S1 — general sustainability disclosures; enterprise-value materiality [3]

The word that does the most work in S1 is materiality. The UK Sustainability Reporting Standards use enterprise-value materiality — sometimes called single or financial materiality. The test is whether the information could reasonably be expected to affect the company’s prospects, and therefore its value to investors [9].

That is a narrower test than the EU applies, and it is the single most consequential difference between the UK and EU regimes. More on that in chapter 11.

The second thing S1 does is connectivity. Sustainability disclosures have to be published at the same time as the financial statements, for the same reporting period, with consistent assumptions [28].

The relief matters here. Under the FCA’s proposal, full S1 application carries a two-year relief — effectively 2029 — and S1 sits on comply-or-explain rather than being straightforwardly mandatory [6][8].

What “material” actually excludes

Single materiality is a real constraint, not a softer version of the EU test. An impact that is significant for the environment but has no reasonably expected effect on the company’s prospects is outside what S1 requires you to disclose [9][29].

That is a narrower obligation, and it is also a harder judgement, because you have to be able to defend the boundary you drew.

Where S1 sits in the annual report

The connectivity requirement is what makes this a reporting-calendar problem rather than a sustainability-team problem. Same period, same publication moment, consistent assumptions [28].

In UK terms that lands the disclosures against the Strategic Report machinery, where the statutory home for non-financial information already sits [61].

Practically, it means the sustainability numbers have to close when the financial numbers close. A process that produces good disclosures two months late produces non-compliant ones.

Chapter 05 / 17

The four pillars, the reliefs and the disclosure-by-disclosure detail are on the S1 guide.

UK SRS S2 in practice — climate, and the emissions problem

S2 is where the work is. It is also the part the FCA proposes to make properly mandatory.

S2 keeps TCFD’s four pillars and raises the bar on all of them: financially quantified scenario analysis, full Scope 3 disclosure, and explicit linkage to the financial statements [37].

Emissions have to be measured using the GHG Protocol Corporate Standard, with the UK conversion factors published each year by DESNZ [16][64].

Scope 1
Direct emissions from sources you own or control — your boilers, your furnaces, your vehicles.
Usually the easiest to calculate.
Scope 2
Indirect emissions from the energy you buy — principally purchased electricity.
Location-based and market-based methods both matter.
Scope 3
Everything else in the value chain — purchased goods and services, business travel, use of sold products, and for financial firms, financed emissions.
Typically the largest, always the hardest, and the reason for the relief.
SOURCE: S2 — GHG Protocol Corporate Standard, Scopes 1, 2 and 3 [4][16][66]

Scope 3 gets a one-year relief under the FCA’s proposal — effectively 2028 — and sits on comply-or-explain rather than mandatory [6][8]. That relief exists because Scope 3 is genuinely hard, not because it is optional in principle.

S2 also requires a company to disclose whether and where it has published a transition plan, or explain why not. Mandating transition plans themselves is a matter for Government, not the FCA, and the Government has not decided [18][45].

Scenario analysis is the requirement people underestimate

Under TCFD, scenario analysis was frequently narrative: a description of a warmer world and a paragraph of implications. S2 asks for climate-resilience analysis that is quantified in financial terms [37].

That is a different exercise, requiring assumptions the finance function has to own rather than review.

Why Scope 3 got the only real relief

Scope 1 and Scope 2 are largely arithmetic over data you already hold. Scope 3 depends on information held by other organisations, most of which are not themselves in scope of the UK Sustainability Reporting Standards and have no obligation to give it to you.

For financial firms the hardest category is Category 15, financed emissions, where the December 2025 ISSB targeted amendments are directly relevant [78].

The relief to 2028 is time to build supplier data collection, not permission to skip the category [8].

Chapter 06 / 17

The climate standard in full is on the S2 guide; the emissions mechanics are on Scope 1, 2 and 3 emissions.

UK SRS S1 vs UK SRS S2, practically

The distinction that gets skipped: S1 and S2 are not two halves of one report. They have different scopes, different start dates and, under the FCA’s proposal, different legal force.

S1
CoversSustainability-related risks and opportunities in general
Force (proposed)Comply-or-explain
ReliefTwo years — effectively 2029
Hardest partDeciding what is material to enterprise value
Based onIFRS S1
S2
CoversClimate — risks, opportunities, emissions, scenarios
Force (proposed)Mandatory, except Scope 3
ReliefOne year on Scope 3 — effectively 2028
Hardest partScope 3 data and quantified scenario analysis
Based onIFRS S2
The two UK SRS standards compared — S1 is comply-or-explain with relief to 2029, S2 is proposed mandatory from 2027 except Scope 3
Force and timing differ between the two UK SRS standards SOURCE: FCA CP26/5 ¶1.5–1.6 [6]; transitional reliefs [8] — PROPOSED
SOURCE: FCA CP26/5 ¶1.5–1.6 [6]; transitional reliefs [8]; standard content [3][4]

The practical consequence is a climate-first regime. If you have limited capacity between now and 2027, S2 is where it goes — because S2 is the part that is proposed to be mandatory, and its emissions requirements are the part with a hard data dependency [85].

Chapter 07 / 17

The two standards compared line by line are on S1 and S2.

FCA CP26/5 and the Listing Rules

PROPOSED Nothing in this chapter is in force. It becomes real when the FCA publishes its Policy Statement, expected autumn 2026.

CP26/5 was published on 30 January 2026 and closed to responses on 20 March 2026 [5].

It proposes to delete the existing TCFD-aligned listing rules and replace them with UK SRS S2 [22]. That is the mechanism: not a new obligation bolted on, but a substitution.

Within that, the proposal splits three ways [6]:

Mandatory
S2 climate disclosures, other than Scope 3.
Comply-or-explain
Scope 3 emissions, and UK SRS S1 in full.
Not proposed
Mandatory assurance; mandatory transition plans. Both sit elsewhere.
SOURCE: FCA CP26/5 ¶1.5–1.6 [6]; ¶4.4 on deleting the TCFD-aligned rules [22]; assurance [21]

The legal basis is section 73A of the Financial Services and Markets Act 2000, which is what gives the FCA its listing-rule powers [60].

What happens if the Policy Statement moves

The FCA has committed to a season, not a date [5]. If the Policy Statement slips past autumn 2026, the 1 January 2027 start becomes very tight for companies that have not begun measuring, because a reporting year cannot be retrofitted.

The defensible planning assumption is to prepare for the proposal as consulted, and treat any softening as upside. That is not a compliance posture — it is a data-collection one, and the data work is useful under SECR regardless.

Why the substitution matters more than it sounds

Because CP26/5 replaces the TCFD-aligned rules rather than adding to them, in-scope companies do not end up with two climate disclosures. They end up with one, to a higher standard [22].

Chapter 08 / 17

The consultation is tracked in detail on UK SRS and the FCA and the CP26/5 tracker.

Assurance under the UK Sustainability Reporting Standards

Assurance is the question boards ask second and worry about first. The honest answer is that it is not settled.

Under the FCA’s proposal, assurance is not mandatory. What is required is a statement about assurance — whether the disclosures have been assured, and by whom [21].

Separately, the Government consulted on an oversight regime for the assurance of sustainability-related financial disclosures, and has published its response [57].

The FRC is developing the standard the work would be done to — ISSA (UK) 5000 — and operates an interim assurance register [21][121].

Limited assurance
ConclusionNegative form — nothing came to our attention
DepthEnquiry and analytical procedures
Comparable toA review, not an audit
Reasonable assurance
ConclusionPositive opinion
DepthSubstantive testing of the underlying data
Comparable toA financial-statement audit
SOURCE: assurance not mandatory under the FCA proposal; statement of assurance required; ISSA (UK) 5000 in development [21][121]

The terms to get right: limited assurance is a negative conclusion — nothing came to our attention. Reasonable assurance is a positive opinion, and is what a financial-statement audit provides. They are not degrees of the same thing; they are different engagements at different cost and depth.

Chapter 09 / 17

The assurance position, and what limited versus reasonable means in practice, is on sustainability assurance.

The four-regime stack — where sustainability reporting standards in the UK actually sit

The UK Sustainability Reporting Standards do not arrive on an empty desk. Most companies in scope already report under at least one other regime, and the regimes do not line up.

UK SRS
Corporate sustainability and climate disclosure
~515 listed issuers — proposed, 2027
Regulator: FCA (listed)
SECR
Streamlined Energy and Carbon Reporting — energy and emissions in the directors’ report
~11,900 entities — in force since 2019
Enforcement: FRC Conduct Committee
ESOS
Energy Savings Opportunity Scheme — four-yearly energy audits
Phase 4 deadline 5 December 2027
Regulator: Environment Agency
TCFD
The heritage regime — disbanded 2023, absorbed into the ISSB
Being replaced by UK SRS S2
Its four pillars survive inside S2
The sustainability reporting standards UK companies face — UK SRS, SECR, ESOS and the TCFD heritage regime, with their scopes and regulators
Four regimes, four regulators, four different populations SOURCE: SECR SI 2018/1155 [10]; ESOS GOV.UK guidance [163]; FCA CP26/5 [5]; TCFD disbanded 2023 [12]
Which of the four reach you?

A listed company above the SECR thresholds meets both — and the FCA proposal adds UK SRS on top from 2027.

SOURCE: SECR thresholds and population [10]; ESOS Phase 4 dates [163]; TCFD disbanded 2023 [12]; CP26/5 replacement [22]

SECR catches large companies on a two-of-three test: turnover over £36m, balance sheet over £18m, or 250 employees. Those thresholds did not change when the wider Companies Act size limits went up [10][11].

£36mSECR turnover threshold
£18mSECR balance-sheet threshold
250SECR employee threshold — any two of the three

SECR continues alongside the UK Sustainability Reporting Standards. That is not an inference — it is stated in the DBT letter to the FCA of 5 January 2026 [158].

ESOS is a different animal again: an energy-audit scheme, not a disclosure scheme, run by the Environment Agency. Phase 4 qualification is assessed on 31 December 2026 and the notification deadline is 5 December 2027 [163]. Its thresholds are not SECR’s — 250+ UK employees, or turnover over £44m and balance sheet over £38m.

TCFD is the one that trips people up. It was disbanded in 2023 and its work transferred to the ISSB [12]. It is not a live regime you can still choose. But its four-pillar architecture is inside IFRS S2, and therefore inside UK SRS S2 — so the work you did for TCFD is not wasted, it is the foundation [36][37].

Chapter 10 / 17

Full guides: SECR reporting · ESOS compliance guidance · migrating from TCFD to UK SRS.

UK SRS vs the world — how the UK standards compare internationally

The comparison the government page never draws, and the one every group with an EU subsidiary needs.

The headline difference is materiality. The UK Sustainability Reporting Standards, like the ISSB standards they are built on, use enterprise-value materiality — what affects the value of the business. The EU’s CSRD applies double materiality: the same financial test, plus an impact test covering the company’s effect on people and the environment [9][26][29].

Practically, double materiality asks for more, so a group already reporting under CSRD is generally reporting a superset of what the UK Sustainability Reporting Standards ask — but not in the same shape, and the two are not interchangeable.

UK SRS
MaterialityEnterprise value — single
Built onIFRS S1 / S2 (ISSB)
Scope~515 listed issuers, proposed
ForceVoluntary today; S2 proposed mandatory 2027
EU CSRD / ESRS
MaterialityDouble — financial and impact
Built onESRS, developed by EFRAG
Scope1,000+ employees and €450m+ turnover, after Omnibus I
ForceIn force; revised ESRS apply from FY2027
SOURCE: materiality [9][26][29]; Omnibus I Directive (EU) 2026/470 scope thresholds [185]; revised ESRS (2026) application [181]

The EU has also moved. The revised ESRS (2026), adopted on 3 July 2026, cut mandatory datapoints by around 61% — from roughly 1,144 to about 500 [179][180]. Those acts are in the scrutiny period, with Official Journal publication expected in Q4 2026, so the correct description is adopted, subject to scrutiny rather than in force [182].

Beyond the EU, more than 30 jurisdictions representing over half of global GDP have adopted or are adopting the ISSB standards, some in full and some climate-only [39]. The UK’s climate-first sequencing is a common pattern, not a British peculiarity.

1,144 Mandatory ESRS datapoints before the 2026 revision
~500 After it — a 61% cut, adopted 3 July 2026
2 UK SRS standards, by comparison — S1 and S2
SOURCE: Commission Delegated Regulation C(2026) 5010 [179][180] — adopted, subject to scrutiny [182]

If you report under both

Groups with UK-listed parents and EU subsidiaries face both regimes, and the honest position is that neither satisfies the other automatically. EFRAG has aligned the ESRS financial-materiality definition with the ISSB and published interoperability guidance, and the climate overlap between ESRS E1 and IFRS S2 is extensive because both descend from TCFD [31].

So a CSRD-compliant climate dataset is a strong starting point for UK SRS S2. The gap is structural — different reporting boundaries and different statements — rather than a gap in the underlying measurement.

Where the UK sits on ambition

Climate-first sequencing, single materiality and a listed-company-first scope put the UK close to the ISSB baseline and behind the EU on breadth. That is a deliberate policy position, and the Government paired it with a decision in July 2025 not to proceed with a UK Green Taxonomy [17].

Chapter 11 / 17

Detailed comparisons: CSRD vs UK SRS · UK SRS vs ESRS · global sustainability standards.

Your compliance strategy, by company type

Pick the description that fits you. The sequence changes more than the deadline does.

What to do this quarter 3 profiles

You are the core case. Your existing disclosure becomes the baseline, and the gap is narrower than it looks — but it is a real gap.

  1. Confirm your UKLR category. Five are proposed in scope: UKLR 6, 14, 15, 16 and 22. [7]
  2. Quantify your scenario analysis. TCFD-era narrative scenarios do not meet S2. This is the biggest single uplift. [37]
  3. Map Scope 3 categories you cannot yet calculate. The relief buys you to 2028, not past it. [8]
  4. Fix connectivity. Same period, same publication date, consistent assumptions as the financial statements. [28]

Everything the TCFD reporters built over three years, compressed. Start with data, not with drafting.

  1. Stand up Scope 1 and 2 measurement first. A reporting year cannot be reconstructed after it has passed. [16]
  2. Put governance on paper. Board oversight and management responsibility are S1 pillar one, and they are the cheapest thing to fix. [3]
  3. Use the voluntary window. The standards are published and usable now — a dry run in 2026 is worth more than any gap analysis. [1]
  4. Then scenario analysis. It is the long pole, and it depends on the strategy work above it. [37]

You are not in the FCA’s proposed scope. You may still be in SECR, and you may be in scope of a future regime.

  1. Check SECR first. Two of three: £36m turnover, £18m balance sheet, 250 employees. That one is already law. [10]
  2. Check ESOS Phase 4. Different thresholds, hard deadline of 5 December 2027. [163]
  3. Watch Modernising Corporate Reporting. DBT is expected to consult on private-company application later in 2026. [24][86]
  4. If a listed customer asks for your emissions, you are already inside someone else’s Scope 3. That request will arrive before any obligation does. [4]
SOURCE: UKLR categories [7]; reliefs [8]; SECR thresholds [10]; ESOS Phase 4 [163]; MCR [24][86]
Chapter 12 / 17

The full sequence is on UK SRS compliance, and the gap analysis is on the UK SRS readiness assessment.

What non-compliance actually means

This is the section most guides either skip or invent. Here is what is supportable, and what is not.

There is no UK SRS penalty regime of its own. The UK Sustainability Reporting Standards are a set of standards; standards do not carry fines. The enforcement question is always about the instrument that makes them apply [1].

For listed companies that instrument is the Listing Rules, made under section 73A of FSMA 2000 [60]. Failure to comply with a listing rule is an FCA enforcement matter, through the FCA’s ordinary powers — not a bespoke penalty.

For SECR, the reporting obligation sits in the directors’ report and the FRC Conduct Committee has the enforcement role [10].

What does NOT exist

A dedicated penalty regime. Standards do not carry fines.

Any published fine figure with a primary source behind it. [1]

What does

Listing-rule enforcement by the FCA, under its ordinary powers.

FSMA 2000 s.73A as the statutory basis. [60]

Who carries it

The directors who sign the annual report.

The Strategic Report is a statutory obligation of theirs. [61]

What it looks like

A thin comply-or-explain disclosure, published with the audited accounts.

Same period, same day, under the connectivity rule. [28]

A caution about numbers you will see elsewhere. Specific UK SRS fine figures circulate online. We have found no primary source for any of them, and this cluster corrected one of its own pages for exactly that reason. Where a penalty figure appears on this site, it is a real statutory figure with a link to the legislation, or it does not appear.

The realistic consequence for a listed company is not a fine. It is a comply-or-explain disclosure that a reader can see is thin, sitting in the annual report, signed by directors, next to audited financial statements. Under S1’s connectivity requirement it will be published at the same time and for the same period as those statements [28].

Nobody wants a director signing something they have not understood.

Comply-or-explain is not optional

The phrase invites the wrong reading. Under comply-or-explain you must either make the disclosure or publish a reasoned explanation of why you have not [6].

Silence is not one of the two permitted answers, and an explanation that does not explain is the most visible failure mode available — it sits in the annual report where analysts, investors and journalists read it.

Directors’ duties

The disclosures land in the annual report, and the Strategic Report machinery that carries non-financial information is a statutory obligation of the directors [61].

The realistic risk is therefore reputational and governance risk carried personally by the people who sign, long before it is ever an enforcement question.

Chapter 13 / 17

The legal instruments, and how each one bites, are on UK SRS legislation.

One dataset, three regimes

The efficiency argument, and the reason the work is worth doing properly once.

SECR, ESOS and UK SRS S2 all ultimately want the same underlying thing: what the organisation consumed, and what that converts to in greenhouse gas terms.

They want it at different boundaries, on different frequencies, for different regulators. But the measurement layer underneath is one layer, and the conversion factors are the same DESNZ factors in all three cases [16][64].

Activity & energy dataAll three
Scope 1 & 2 emissionsAll three
Scope 3 (full)S2 only
Energy-efficiency auditESOS only
Scenario analysisS2 only
SOURCE: SECR requirements [10]; ESOS audit scope [44][163]; S2 content [4]; shared DESNZ factors [16]

Building the measurement layer once, at the right granularity, is what turns three separate compliance exercises into one dataset with three outputs. Done properly, it is also the first honest picture a board has had of what the business actually burns.

Granularity is the decision that is expensive to reverse

SECR needs an annual total. ESOS needs energy use broken down far enough to identify savings opportunities. S2 needs emissions in a form that can be connected to financial statements and, eventually, assured.

A system built to produce only the SECR total cannot be asked, later, where the number came from. Building at the finest granularity any of the three regimes needs is what makes the dataset serve all of them.

Assurance readiness is mostly provenance

Assurance is not mandatory under the FCA’s proposal, but a statement about assurance is [21]. The work that makes assurance cheap later is unglamorous now: knowing which meter, which invoice, which conversion-factor year, and who approved the estimate where an estimate was used [64].

Chapter 14 / 17

Carbon reporting software compares the platforms; ESG data management covers the data layer; ESOS online covers the audit route.

How scope tends to land by sector

Scope is set by listing category, not by industry. But what the standards ask for lands very differently depending on what the business does.

Financial services
Scope 3 Category 15 — financed emissions — typically dominates the footprint and is the hardest category in the standard to calculate. The December 2025 ISSB targeted amendments matter here.
[78]
Manufacturing & industrials
Scope 1 is large and directly measurable, which makes the emissions side more tractable. Transition risk in the strategy pillar is where the difficulty sits.
[4][37]
Retail & consumer
Purchased goods and services usually dominate, so the burden is upstream supplier data — which is exactly the data the relief to 2028 exists to buy time for.
[4][8]
Energy & utilities
Use of sold products can exceed everything else combined, and scenario analysis is closest to being genuinely business-critical rather than a disclosure exercise.
[4][37]
SOURCE: UK SRS S2 Scope 3 categories and scenario requirements [4][37]; financed emissions / Category 15 [78]. Sector patterns are general observations about where effort concentrates, not scope determinations.

Sector does not change whether you are in scope. It changes which chapter of this page you will spend your year on.

Chapter 15 / 17

Scope determination is on who is in scope; the Scope 3 categories are on UK SRS Scope 3 reporting.

What UK SRS reporting actually looks like on the page

The question nobody answers: when this is done, what is the physical deliverable?

It is not a separate document. Under the connectivity requirement, the disclosures required by the UK Sustainability Reporting Standards are published with the annual report, for the same period, at the same time [28].

In practice that means a clearly identified section of the annual report, structured around the four pillars, with the climate content of UK SRS S2 sitting inside it rather than alongside it.

The shape of the section

1
Governance Half a page to two pages. Board committee, terms of reference, management responsibility, frequency of review.
2
Strategy The longest part. Identified risks and opportunities, time horizons, effects on the business model, and the quantified scenario analysis that S2 requires.
3
Risk management How sustainability risk assessment sits inside the existing enterprise risk process. Usually short, and usually cross-referenced.
4
Metrics and targets The emissions table — Scope 1, Scope 2 and, subject to the relief, Scope 3 — plus targets and progress, and the basis of preparation.
5
Statements and basis The assurance statement, the reporting boundary, the conversion-factor year, and any comply-or-explain explanations.
SOURCE: structure follows the four pillars in UK SRS S1 [3] and the climate requirements in S2 [4][37]; connectivity and timing [28]; assurance statement [21]
The UK SRS reporting cycle for a December year end — measure through the year, close with the financial statements, then publish both together
Why UK SRS reporting is a calendar problem before it is a drafting problem SOURCE: S1 connectivity requirement [28]; S2 emissions [4] — illustrative December year end

Where UK SRS reporting differs from a TCFD section

A company moving from TCFD to the UK Sustainability Reporting Standards keeps the four headings and rewrites the content underneath three of them.

Governance usually survives largely intact. Risk management usually survives. Strategy and metrics are where the work is, because quantified scenarios and GHG Protocol-based emissions are both genuinely new obligations rather than deeper versions of old ones [37].

Basis of preparation is the part that gets forgotten

Every emissions figure needs a stated boundary, a stated methodology and a stated conversion-factor year. The UK Sustainability Reporting Standards inherit the GHG Protocol’s discipline here, and the DESNZ factors are updated annually [16][64].

A number without its basis cannot be assured, cannot be compared year on year, and cannot be defended if challenged.

Chapter 16 / 17

Section-by-section UK SRS reporting guidance is on the UK SRS reporting guide.

The order of work

Not a score, and not a maturity model. Just the sequence, in the order the dependencies actually run.

1
Confirm scope Which UKLR category, or none. Everything downstream is wasted if this is wrong, and it takes an afternoon.
2
Start measuring Scope 1 and 2 First, because it is the only item with a hard clock on it. You cannot rebuild a reporting year in arrears.
3
Write down the governance Board oversight, management responsibility, reporting calendar. Cheapest pillar to satisfy and the first thing an assurer will ask for.
4
Map Scope 3, then close the gaps Map every category before calculating any. The relief runs to 2028; the supplier conversations take longer than the arithmetic.
5
Quantify the scenarios Depends on the strategy work and on having emissions data. This is why it is fifth and not first.
6
Connect it to the financial statements Same period, same publication, consistent assumptions. Retrofitting connectivity at the end is how reporting timetables break.
SOURCE: sequence derived from the cited requirements — S1 pillars [3], connectivity [28], S2 scenario analysis and emissions [4][37], transitional reliefs [8]

That is the regime.

Here is the one sentence underneath it.

The UK Sustainability Reporting Standards are voluntary today, and the FCA has proposed that climate reporting under the UK Sustainability Reporting Standards S2 becomes mandatory for around 515 listed companies for accounting periods beginning on or after 1 January 2027.

UK SRS in five dates

25 February 2026
UK SRS S1 and S2 published by DBT, for voluntary use. The regime exists from this date.
Autumn 2026
FCA Policy Statement expected. Until then, mandatory application is proposed, not law.
1 January 2027
Proposed start of the first reporting year for in-scope listed companies.
~515 companies
The proposed population — five UK Listing Rule categories. Not the ~11,900 in SECR.
2028, then 2029
First reports, and the year the Scope 3 relief ends. S1’s two-year relief runs to 2029.
Enterprise value, not double
The UK Sustainability Reporting Standards use single materiality. If someone tells you it is double materiality, they are describing the EU regime.

The one thing worth knowing before anything else is whether the FCA’s proposal reaches you at all.

See if you’re in the ~515 Or start from the beginning — what UK SRS is, S1 and S2 explained
The dates that decide
25 Feb 2026Standards published
Autumn 2026FCA Policy Statement expected
1 Jan 2027First reporting year begins
2028First reports · Scope 3 relief ends
2029UK SRS S1 relief ends
—days to 1 January 2027
Run the checker above and your result appears here.

UKSRS — independent reference on the UK Sustainability Reporting Standards. Every figure on this page is cited to a named primary source.

The sourced record
UKSRS defined

The standards explained

The UK Sustainability Reporting Standards (UK SRS) are the UK government's endorsed versions of the International Sustainability Standards Board's global baseline (ISSB IFRS S1 and IFRS S2). Published by the Department for Business and Trade on 25 February 2026, the framework comprises two standards: S1 (General Requirements for Disclosure of Sustainability-related Financial Information) and S2 (Climate-related Disclosures), with six UK-specific amendments.

Full name
UK Sustainability Reporting Standards
Abbreviation
UK SRS / UKSRS
Standards
S1 (general) and S2 (climate)
Published
25 February 2026 (DBT)
Mandatory from
1 Jan 2027 (S2, proposed)
Based on
IFRS S1 and IFRS S2 (ISSB)
In scope
~515 UK-listed companies
Regulator
FCA (listed companies)

Is UK SRS mandatory?

Not yet. Published for voluntary use on 25 February 2026. Mandatory for ~515 UK-listed companies (UKLR 6/16/22) from 1 Jan 2027 under proposed FCA rules.

Does UK SRS replace SECR?

No. SECR continues to apply. UK SRS sits alongside it — see our SECR guide for how the two interact.

UK SRS vs EU CSRD?

UK SRS is two standards on single materiality; CSRD/ESRS is twelve standards on double materiality. See the comparison.

Is UK SRS replacing TCFD?

For in-scope listed companies, UK SRS S2 is proposed to replace the existing TCFD-aligned listing rules from 2027. See TCFD to UK SRS.

Entities

Who must comply

Scope is set by listing category, not by size alone. The FCA's proposals target the capital-markets core; the Modernising Corporate Reporting programme may extend it later.

TierDetailCountStatus
UK Listed — UKLR Cat 6, 16 & 22Main market · premium & standard ~515Proposed mandatory S2 from 1 Jan 2027
Large Private — MCR ProgrammeAbove Companies Act 2006 thresholds ~3,000+Consultation 2026 — no date confirmed
Smaller Private & AIMBelow MCR thresholds · separate AIM timeline —Out of scope (current proposals)
ProvenanceThe ~515-company figure comes from the FCA's own analysis in CP26/5, which categorised every UK-listed issuer by listing category. Read the full breakdown in our scope guide and thresholds guide.
Requirements

What the UK SRS standards require, disclosure by disclosure

The summary version of chapters 5 and 6, in the order a preparer meets them. Together the two UK SRS standards ask for six groups of disclosure.

Governance disclosures

Identify the body or individual with oversight of sustainability-related risks and opportunities.

Describe how oversight responsibilities are reflected in terms of reference and policies.

Describe management’s role in the process. [3]

Strategy disclosures

Describe the sustainability-related risks and opportunities that could reasonably be expected to affect prospects.

Describe the effects on the business model and value chain, and on strategy and decision-making.

Describe the effects on financial position, financial performance and cash flows over the short, medium and long term. [3][28]

Risk-management disclosures

Describe the processes used to identify, assess, prioritise and monitor those risks.

State whether and how those processes are integrated into the overall risk-management process. [3]

Metrics and targets

Disclose the metrics used to measure and monitor performance.

Disclose targets set, and progress against them.

For climate, disclose greenhouse gas emissions in Scope 1, Scope 2 and Scope 3, measured in accordance with the GHG Protocol Corporate Standard. [3][4][16]

Climate-specific requirements (UK SRS S2)

Conduct and disclose climate-resilience analysis using scenario analysis, quantified in financial terms.

Disclose whether and where a transition plan has been published, or explain why not.

Disclose cross-industry metrics, and industry-based metrics where applicable — references to SASB and sector materials are permissive, not required. [4][37][41][45]

Connectivity and timing

Publish sustainability disclosures at the same time as the related financial statements.

Use the same reporting period and consistent assumptions across both. [28]

StatusUK SRS S1 and UK SRS S2 are published and available for voluntary use. Mandatory application to listed companies is proposed in FCA CP26/5 and depends on the Policy Statement expected autumn 2026. Nothing in this section is a legal obligation on any company today.
Questions

Frequently asked questions

What are the UK SRS?

The UK Sustainability Reporting Standards (UK SRS) are the UK government's endorsed versions of the International Sustainability Standards Board's global baseline (IFRS S1 and IFRS S2). Published by the Department for Business and Trade on 25 February 2026, the framework comprises two standards: S1 (General Requirements for Disclosure of Sustainability-related Financial Information) and S2 (Climate-related Disclosures). They are final standards, available for voluntary use immediately, and proposed to become mandatory for approximately 515 UK-listed companies from 1 January 2027 under FCA CP26/5. For detailed scope analysis, see our UK SRS thresholds guide.

Is the UK SRS mandatory?

Not yet for most companies. The final UK SRS standards were published for voluntary use on 25 February 2026. The Financial Conduct Authority consulted on making S2 climate disclosures mandatory (CP26/5, closed 20 March 2026) for approximately 515 UK-listed companies (UKLR categories 6, 16 and 22) from accounting periods beginning on or after 1 January 2027. The FCA Policy Statement is expected autumn 2026. Large private companies are under review through the Modernising Corporate Reporting programme — earliest mandatory date for private companies would be 2028 or later.

Is UK SRS replacing SECR?

No. SECR (Streamlined Energy and Carbon Reporting) and the UK SRS are separate regulatory frameworks with different policy objectives. The Department for Business and Trade confirmed in its 5 January 2026 letter to the FCA that both regimes will continue to run in parallel. SECR is an annual Companies Act obligation covering energy use and Scope 1/2 emissions for large UK companies. UK SRS is a climate and sustainability financial disclosure framework, initially focused on listed companies. Many Premium-listed companies will face dual obligations.

What is the difference between CSRD and UK SRS?

The UK SRS and EU CSRD (Corporate Sustainability Reporting Directive) are separate frameworks for different jurisdictions. Key differences: (1) Materiality — UK SRS uses single materiality (financial impact on the company); CSRD requires double materiality (financial impact plus the company's impact on society and environment). (2) Standards basis — UK SRS is based on IFRS S1 and S2 (ISSB); CSRD uses the 12 European Sustainability Reporting Standards (ESRS). (3) Scope — the UK regime initially applies to ~515 UK-listed companies; CSRD covers EU companies above 1,000 employees and €450m turnover (post-Omnibus). (4) Timeline — UK SRS S2 is proposed mandatory from 1 January 2027; CSRD phased from 2024.

When does UK SRS become mandatory?

S2 (climate disclosures) is proposed to become mandatory for UK-listed companies from financial years beginning on or after 1 January 2027, subject to the FCA's Policy Statement (CP26/5) expected autumn 2026. S1 (general sustainability) follows on comply-or-explain from 1 January 2029. The timeline applies to approximately 515 companies under UK Listing Rules categories 6, 16, and 22. View our comprehensive UK SRS timeline for detailed implementation milestones.

When is Scope 3 required under UK SRS?

Scope 3 GHG emissions receive one-year transitional relief under UK SRS. If the FCA's CP26/5 proposals are confirmed in the autumn 2026 Policy Statement, S2 climate disclosures would apply for accounting periods beginning on or after 1 January 2027, with Scope 3 on a comply-or-explain basis from 1 January 2028. Companies must either report Scope 3 emissions or explain why they have not done so.

What is the UK SRS timeline for private companies?

Large private companies are under review through the Modernising Corporate Reporting (MCR) programme. Government consultation is expected in 2026, with any mandatory requirements still proposed and unconfirmed. Small and medium companies can adopt UK SRS voluntarily from 25 February 2026.

When was UK SRS published and available?

The Department for Business and Trade published final UK SRS S1 and S2 standards on 25 February 2026. From this date, any UK company can choose to report against the standards voluntarily with all-or-nothing early adoption requiring full compliance. The FCA's CP26/5 consultation closed on 20 March 2026, with Policy Statement expected autumn 2026.

What's the difference between UK SRS and TCFD?

S2 builds substantially on TCFD foundations but with enhanced requirements. While TCFD focuses on governance, strategy, risk management and metrics, S2 requires quantitative GHG emissions disclosure, scenario analysis details, and transition plan specifics. S2 replaces existing TCFD-aligned Listing Rules from January 2027, providing more prescriptive disclosure requirements aligned with IFRS S2 international standards.

Does UK SRS apply to AIM-listed companies?

No, UK SRS is not mandatory for AIM-listed companies. The FCA's CP26/5 proposals apply only to Main Market issuers under UK Listing Rules categories 6 (premium equity), 16 (standard equity), and 22 (debt securities). AIM companies can adopt the standards voluntarily from February 2026.

What are the six UK-specific amendments in UK SRS?

The UK amendments include: (1) SASB metrics shifted from 'shall' to 'may' apply, (2) one-year Scope 3 transitional relief, (3) financed emissions flexibility for financial institutions, (4) climate-first phased implementation (S2 before S1), (5) comply-or-explain approach for S1, and (6) UK-specific effective dates.

When does the FCA Policy Statement come out?

The FCA expects to publish its Policy Statement on UK SRS-aligned Listing Rules in autumn 2026, following analysis of 209 consultation responses to CP26/5. This will confirm final mandatory implementation dates, scope, and any adjustments to the proposed timeline. Track all key dates in our UK SRS timeline.

How does UK SRS interact with SECR?

UK SRS operates alongside SECR (Streamlined Energy and Carbon Reporting) as complementary frameworks. SECR remains a Companies Act 2006 requirement for annual energy and Scope 1/2 emissions disclosure. UK SRS extends beyond SECR with comprehensive climate risk assessment, scenario analysis, transition planning, and full Scope 3 emissions.

Can a company adopt UK SRS voluntarily before 2027?

Yes, any UK company can adopt UK SRS voluntarily from 25 February 2026 when the final standards became available. Early adoption requires all-or-nothing compliance — companies must apply the full standard rather than cherry-picking requirements.

What is the FRC Interim Assurance Register and when does it open?

The FRC Interim Assurance Register will list assurance providers approved for UK sustainability reporting. The register is under development following FCA CP26/5 proposals, with opening date subject to the autumn 2026 Policy Statement. Once operational, it will help companies identify qualified assurance providers for voluntary or future mandatory sustainability assurance requirements under UK SRS.

What happens if a company doesn't comply with UK SRS?

UK SRS operates on a comply-or-explain basis initially. For in-scope listed companies, non-compliance with proposed mandatory requirements would trigger listing rule enforcement action by the FCA. Companies must either comply fully with applicable standards or provide clear explanations for non-compliance in their annual reporting. The regulatory framework treats sustainability disclosures as integral to listing obligations.

Where can I find UK SRS reporting guidance?

The official UK SRS reporting guidance sits in three places: the Department for Business and Trade's UK Sustainability Reporting Standards page on GOV.UK (the standards themselves and adoption guidance), the FCA's CP26/5 consultation for the proposed listing-rule mechanics, and the FRC's Sustainability Reporting Developments FAQ for implementation questions. For practitioner-level guidance, this site's UK SRS reporting guide explains what to disclose and when, section by section, with the S1 and S2 requirements mapped to worked examples.

What are the UK SRS standards?

The UK SRS standards are S1 and S2. S1 sets general requirements for disclosing sustainability-related financial information — governance, strategy, risk management, and metrics and targets. S2 covers climate-related disclosures specifically, including greenhouse gas emissions across Scope 1, Scope 2 and Scope 3, and climate-resilience scenario analysis. Both are the UK-endorsed versions of the ISSB's IFRS S1 and IFRS S2, published by the Department for Business and Trade on 25 February 2026 with six UK-specific amendments.

What are the UK SRS requirements?

Under S1 a company discloses who oversees sustainability-related risks and opportunities, how those risks affect its business model and strategy, how they are identified and managed, and what metrics and targets it uses. Under S2 it additionally discloses climate-related risks and opportunities, greenhouse gas emissions in Scope 1, Scope 2 and Scope 3 measured under the GHG Protocol Corporate Standard, financially quantified scenario analysis, and whether it has published a transition plan. Disclosures must be published at the same time and for the same period as the financial statements.

What is UK SRS reporting?

UK SRS reporting is the practice of preparing and publishing sustainability and climate disclosures in line with the UK Sustainability Reporting Standards, alongside a company's annual report. It is voluntary today. The FCA has proposed that UK SRS reporting on climate become mandatory for around 515 UK-listed companies for accounting periods beginning on or after 1 January 2027, with the first reports appearing in 2028. For step-by-step UK SRS reporting guidance, see our reporting guide.

Who sets sustainability reporting standards in the UK?

Four bodies have distinct roles. The ISSB, a board of the IFRS Foundation, writes the global baseline standards. The UK Sustainability Disclosure Technical Advisory Committee makes an independent technical assessment and recommends endorsement, with the FRC providing the secretariat. The Policy and Implementation Committee advises on implementation and public-good questions. The Department for Business and Trade makes the decision and publishes the endorsed UK standards. The FCA then decides, through the Listing Rules, whether listed companies must apply them.

Does UK SRS use double materiality?

No. The standards use enterprise-value materiality — also called single or financial materiality. The test is whether information could reasonably be expected to affect the company's prospects and therefore its value to investors. Double materiality, which adds an impact test covering the company's effect on people and the environment, is the EU approach under the CSRD and ESRS. This is the single most consequential difference between the UK and EU regimes.

Is UK SRS the same as IFRS S1 and IFRS S2?

Almost, but not identically. S1 and S2 are the UK-endorsed versions of the ISSB's IFRS S1 and IFRS S2, with six UK-specific amendments made during the endorsement process. A new or amended ISSB standard does not automatically apply in the UK — it has to pass through the UK endorsement route first before it becomes part of the UK Sustainability Reporting Standards.

Reference

Primary sources, related regimes & tools

Every outbound link on the GOV.UK UK SRS guidance page appears below, plus the primary legislation that page does not link. Re-verified July 2026.

The government’s own reference set

Official sources

DBT — UK SRS S1 and S2 (the standards) ↗ GOV.UK — UK SRS guidance ↗ GOV.UK — UK SRS guidance and documents collection ↗ DBT — Framework for developing UK SRS ↗ DBT — UK SRS exposure-draft consultation ↗ Government response — assurance oversight regime ↗ DBT letter to the FCA, 5 January 2026 (PDF) ↗

Regulators & standard-setters

FCA — CP26/5 sustainability disclosures ↗ FRC — UK Sustainability Disclosure TAC ↗ FRC — Sustainability reporting developments FAQ ↗ IFRS Foundation — who we are ↗ IFRS — Sustainability Standards Navigator ↗ IFRS — ISSB ↗

The legislation GOV.UK doesn’t link

FSMA 2000 s.73A — the FCA’s listing-rule power ↗ Companies Act 2006 s.414CB — non-financial information statement ↗ SI 2018/1155 — the SECR regulations ↗ SI 2022/31 — climate-related financial disclosure regulations ↗ DESNZ — GHG conversion factors ↗ GHG Protocol — Corporate Standard ↗

Deep guides on this site

The standards

UK SRS S1UK SRS S2 S1 and S2 together What UK SRS is The six UK amendments UK SRS reporting guidance

Scope & timing

Thresholds Who is in scope The full timeline The deadline UK SRS and the FCA CP26/5 tracker UK SRS legislation Modernising Corporate Reporting

Doing the work

Compliance guide Readiness assessment Scope 3 reporting Scope 1, 2 and 3 emissions Sustainability assurance Double materiality Carbon reporting software ESG data management

Other regimes & comparisons

SECR SECR reporting guide ESOS compliance guidance ESOS online TCFD TCFD and UK SRS TCFD to UK SRS migration CSRD in the UK CSRD vs UK SRS UK SRS vs ESRS Global sustainability standards ESG reporting requirements
Every claim on this page maps to a numbered entry in the citation library. Where a figure is proposed rather than in force, it is marked. Re-verified July 2026.
Glossary

UK Sustainability Reporting Standards: the terms that get confused

Most UK Sustainability Reporting Standards misunderstandings are one of these six words being used loosely.

Published
The standard exists and can be used. UK SRS S1 and S2 were published on 25 February 2026. Publication does not compel anyone. [1]
Proposed
A regulator has consulted on making something apply, but has not yet decided. Mandatory UK SRS S2 for listed companies is proposed in FCA CP26/5. [5]
In force
The obligation legally applies. Nothing in the UK Sustainability Reporting Standards is in force as a mandatory obligation today. [1][5]
Comply-or-explain
You either make the disclosure or state publicly why you have not. It is a real obligation with a permitted answer, not an exemption. Proposed for Scope 3 and for UK SRS S1. [6]
Enterprise-value materiality
Also called single or financial materiality. Information matters if it could reasonably be expected to affect the company’s prospects, and so its value to investors. This is what the UK Sustainability Reporting Standards use. [9]
Double materiality
Enterprise-value materiality plus an impact test — the company’s effect on people and the environment. This is the EU’s CSRD approach, and it is not what the UK Sustainability Reporting Standards use. [26][29]
Limited assurance
A negative-form conclusion: nothing came to the assurer’s attention suggesting the information is materially misstated. [21]
Reasonable assurance
A positive opinion, the level a financial-statement audit provides. Deeper, and more expensive, than limited assurance. [21]
Qualification date
The date on which you test whether a regime catches you. Not the same as the compliance deadline — ESOS Phase 4 qualifies on 31 December 2026 and is due on 5 December 2027. [163]
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