ESG Regulation, Compliance and Reporting

"For the simplicity on this side of complexity, I wouldn't give you a fig. But for the simplicity on the other side of complexity, for that I would give you anything I have." - Oliver Wendell Holmes Sr.

Recent years have seen a significant rise in the number of frameworks, standards and regulations pushing for greater transparency and accountability around businesses' social and environmental impacts, and their actions to address them.

The resulting soup of acronyms (TCFD, TNFD, ISSB, CSRD, CSDDD and many more) has already left many businesses struggling to make sense of their legal obligations regarding sustainability due diligence and disclosure.

With political headwinds leading to delay and dilution of key regulations in some regions, and timelines, thresholds and expectations varying across different jurisdictions, this only adds to uncertainty and complexity.

Particularly for larger, listed and multinational organisations, there is a growing need for trusted advice to help identify what obligations apply now, to anticipate what may lie ahead, and to put in place the policies, practices, and systems necessary to meet compliance obligations.

How we can help with ESG regulation, compliance and reporting

We offer a range of services to help clients find the simplicity on the other side of all this complexity – not only helping to determine which regulations are likely to apply and when, but also to assess their readiness to meet new obligations.

ESG Board training

We brief boards and ESG committees on a variety of topics including:

The evolving landscape of sustainability-related regulation
Regulatory and governance implications for businesses operating across multiple jurisdictions
Strategies for reducing complexity, by understanding interconnections between different standards and regulations, and their common aims and foundations
In-depth briefings on specific regulations, their key requirements and likely applicability

Regulatory gap analysis and horizon scanning

We have developed a range of tools to help organisations determine the relevance of more than a dozen existing and upcoming UK and EU regulations – specifically those that involve mandatory due diligence and/or disclosure obligations. We offer initial "light touch" assessments of likely applicability, followed by more detailed analysis and advice on practical implications.

Compliance (including double materiality assessment)

We advise clients on how to achieve full compliance with regulatory requirements. In relation to the Corporate Sustainability Reporting Directive (CSRD), for example, this includes advising on and carrying out a compliant double materiality assessment process, as well as assessing compliance of disclosures, in accordance with the European Sustainability Reporting Standards (ESRS).

Reporting and disclosure

To help fulfil disclosure obligations, communicate progress with confidence and avoid the risk of greenwashing claims, our team of experts work with clients to:

Align reporting with relevant regulatory standards and voluntary best practices
Assess stakeholder expectations and material issues to be reported, using double materiality assessment
Advise on ensuring compliance with mandatory disclosure requirements, including in relation to governance, strategy, impact, risk and opportunity management, and metrics and targets 
Ensure reporting is backed by sound governance, including training for board members and key management 
Employ technology to ensure accurate data and efficient reporting with the expertise of our award-winning team of data scientists, developers and consultants in our Cyber Risk and Complex Investigations team.

Greenwash guarding and reputation management

Regulators are increasingly clamping down on vague, disingenuous or unsubstantiated sustainability claims, and communications must be managed carefully to avoid regulatory complaints and legal action. We offer specialist advice in several areas including:

Greenwash guard training – delivering customised, one-hour seminars to educate boards and key leaders on communicating ESG issues, how to deal with a crisis, and adherence to the current regulatory and legal environment 
Pre-publication clearance – establishing processes for legal clearance of ESG-related statements in regulatory reporting, market disclosures, advertising, and press responses 
Crisis management – providing guidance on handling a crisis and developing a robust crisis plan, drawing on our network of international advisors, crisis communication experts, digital investigators, and experts in business strategy and public affairs