The lack of consistency in the reporting requirements for environmental, social and governance (ESG) needs to be urgently addressed, MPs told
The Business, Energy and Industrial Strategy Committee has been grilling regulators and standard setters on the impact of ESG reporting on businesses and whether auditors are equipped to provide assurance in this area.
The Financial Reporting Council stressed the need for more consistency in reporting, pointing to the work of the International Sustainability Standards Board (ISSB) which is currently consulting on a set of sustainability standards which will support ESG reporting.
Kate O’Neill, director of stakeholder engagement and corporate affairs at the FRC, said: ‘The more consistency there is on ESG reporting will be important – our mantra is report once, not often.’
With ESG reporting in its infancy, ICAEW called for transparency on disclosures.
