SECR: the UK's energy and carbon reporting regime

What SECR is

Streamlined Energy and Carbon Reporting (SECR) is the UK's mandatory energy and carbon reporting regime, in force since 2019, requiring large companies and LLPs to disclose their energy use and greenhouse-gas emissions in annual reports 10. SECR sits in statutory filings and captures roughly 11,900 organisations through a two-of-three size test 10.

Who Must Comply with SECR

SECR's two-of-three qualification test captures roughly 11,900 organisations across quoted companies, large unquoted companies and LLPs 10. Quoted companies report global Scope 1 and 2 emissions and energy use, while large unquoted companies and LLPs report UK energy use plus "grey fleet" emissions from employee-owned vehicles used for business travel 10.

The de minimis exemption applies to organisations using less than 40 MWh of energy in the period, but this must be stated in the Directors' Report 10. SECR size thresholds were left unchanged for accounting periods beginning on or after 6 April 2025, even as wider company-size limits rose — so some companies that became "medium-sized" under general thresholds remain caught by SECR 11.

What SECR Requires

SECR disclosure covers energy consumption in kWh, the associated Scope 1 and 2 greenhouse-gas emissions, at least one intensity metric, prior-year comparisons, and a narrative on energy-efficiency actions taken 10. The information sits in statutory annual filings and is enforced by the Financial Reporting Council's Conduct Committee 10.

Unlike broader sustainability frameworks, SECR is limited to energy and direct (Scope 1) plus indirect electricity (Scope 2) emissions — it does not require Scope 3 value-chain emissions or climate risk disclosures 10.

How SECR relates to ESOS and UK SRS

SECR operates alongside ESOS (the Energy Savings Opportunity Scheme) but with different qualification criteria — a common compliance challenge since organisations can be caught by one scheme and not the other 1044. SECR focuses on annual energy and carbon disclosure, while ESOS requires energy audits every four years 44.

UK SRS builds significantly beyond SECR's scope. SECR is a Companies Act requirement limited to energy and Scope 1 and 2 carbon, while UK SRS is a capital-markets framework covering climate risk, scenario analysis, full Scope 3 emissions, and wider sustainability 1014. The Government has flagged managing duplication between SECR and UK SRS as the newer standards roll out 23.