The draft UK SRS reporting standards have now been released. Use the Speeki platform to generate your automated report.
The UK has now released the exposure draft UK SRS, which are based on IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures.
The UK government proposes 6 minor amendments to the standards for application in a UK context.
With our experience in IFRS S1 and S2, the Speeki platform is ready to produce reports in accordance with the UK SRS standards.
Speeki is here to help you tackle UK SRS sustainability reporting and disclosure compliance.
With Speeki you can track your carbon emissions including Scope 1, 2 and 3 according to the GHG protocol within the Speeki platform.
You will also need the Speeki platform to record the qualitative parts of your carbon and broader sustainability programs and start tracking your metrics, governance, and strategy on key topics.
Once you have your emissions calculated and your qualitative elements built into Speeki you will be ready to prepare your entire sustainability programmes and produce the reports necessary for UK SRS S1 and S2.
Get started soon, even while the exposure draft is continuing to get ahead of what is almost likely to be a near replica of IFRS S1 and S2.
The Government made the ISSB-aligned UK Sustainability Reporting Standards (UK SRS) available in Q1 2025 marking a significant step toward standardizing sustainability reporting across UK businesses.
The FCA has set out its intention to consult on moving from TCFD- to ISSB-aligned disclosure rules for listed companies ensuring that companies will benefit from enhanced comparability and decision-useful information for investors while reducing the complexity of multiple reporting frameworks.
This transition will ultimately provide UK companies with a more comprehensive and globally aligned approach to sustainability disclosure, building upon the foundational work established through TCFD implementation.
Speeki's Carbon Lens module within the Speeki platform is a full carbon accounting system that can build your entire carbon emissions calculations across Scope 1,2 and 3.
Speeki has the total solution for NSRF climate reporting including tracking all your sustainability efforts beyond just carbon tracking.
Speeki is your comprehensive solution to meet the UK SRS because we have the technology, advisory, assurance and training programmes to add value to your business and make the process much easier.
Speeki offers comprehensive support for all relevant and future UK SRS sustainability disclosure standards while addressing the challenges of building your sustainability initiatives.
Speeki helps build your climate and other ESG programmes within the Speeki platform and then allows you to extract that data into any format according to any standard, including UK SRS.
Governance and Strategy Integration into the business
The UK SRS emphasizes the critical importance of embedding sustainability considerations into corporate governance structures and strategic decision-making processes. The UK SRS content, aligned with ISSB standards, is structured around the four pillars recommended by the Task Force on Climate-related Financial Disclosures (TCFD): governance, strategy, risk management, and metrics and targets. Companies must demonstrate how their boards oversee sustainability-related risks and opportunities, including the specific processes, controls, and procedures used to monitor and manage these issues.
This includes disclosing how sustainability considerations are integrated into strategic planning, capital allocation decisions, and executive compensation structures.
Climate-Related Risk Management and Scenario Analysis
The draft UK SRS S2 closely mirrors the core content and structure of IFRS S2, focusing on climate-related financial disclosures.
The disclosure expectations address material climate-related risks and opportunities over short, medium and long term.
These are supported by forward-looking analyses, such as climate scenario analysis, to provide investors with insights to assess business resilience in the transition to a low-carbon economy.
Companies must identify, assess, and disclose both physical climate risks (such as extreme weather events) and transition risks (including policy changes, technology shifts, and market dynamics) that could materially impact their operations, supply chains, and financial performance.
Comprehensive Emissions Reporting and Metrics
The UK SRS establishes detailed requirements for greenhouse gas emissions disclosure that extend significantly beyond existing UK frameworks.
UK SRS will include: ISSB S1 and S2 (which has incorporated TCFD) reporting, including Scope 3 emissions.
Companies must report Scope 1 (direct emissions), Scope 2 (indirect emissions from purchased energy), and crucially, Scope 3 emissions (indirect emissions from the value chain), which often represent the majority of a company's carbon footprint.
The standards require disclosure of industry-specific metrics alongside cross-industry metrics to enable meaningful comparisons, while also mandating targets for emissions reduction and other sustainability performance indicators.
Transition Planning and Implementation Timeline
The UK government has committed to mandating certain entities to develop transition plans that align with the 1.5°C goal of the Paris Agreement. Primarily aimed at UK-regulated financial institutions and FTSE 100 companies, these plans must outline how organizations will adapt their operations and business models to meet sustainability goals.
The transition planning requirements will integrate with the UK SRS framework to provide a comprehensive view of how companies intend to decarbonize their operations and adapt to climate change impacts.
The UK SRS will require sustainability information to be published simultaneously with annual financial statements from year one, enhancing the connection between financial and sustainability reporting.
Speeki already offers solutions for your UK SRS S1 and S2 reporting.
Speeki will help you streamline your reporting process with UK SRS S1 and S2, supporting the entire reporting process with powerful features like GHG emissions accounting and general sustainability reporting.
The UK government is now consulting on the exposure drafts of the UK versions of IFRS S1 and IFRS S2 – respectively called UK SRS S1 and UK SRS S2. The UK SRS are based on the International Sustainability Standards Board (ISSB) standards but include UK-specific modifications. These standards will provide a comprehensive framework for UK companies to disclose sustainability-related risks and opportunities in a consistent, comparable manner that aligns with global best practices while addressing UK-specific requirements.
Companies applying IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures will meet the TCFD recommendations as the recommendations are fully incorporated into the ISSB Standards.
However, the UK SRS go significantly beyond TCFD by requiring broader sustainability disclosures beyond just climate, more detailed emissions reporting including mandatory Scope 3 disclosures, and enhanced forward-looking information.
Companies that previously used TCFD recommendations are well positioned to start applying IFRS Sustainability Disclosure Standards as the familiar four-pillar structure (governance, strategy, risk management, metrics, and targets) remains the foundation, but with expanded scope and more detailed requirements.
The UK SRS creates an independent corporate sustainability reporting regime, while the European Union's Corporate Sustainability Reporting Directive (CSRD) does not apply directly in the UK.
Notable differences include: Materiality Approach: UK SRS focuses on single materiality (impact of social and environmental factors on business operations), whereas the EU CSRD adopts double materiality.
Additionally, UK SRS will cover climate-related disclosures and general sustainability requirements, while CSRD encompasses broader sustainability issues.
While not initially mandatory, companies should establish robust processes, procedures, and internal controls that ensure the accuracy and reliability of sustainability data, potentially subject to independent third-party assurance.
The government is currently consulting on developing an oversight regime for assurance of sustainability-related financial disclosures.
Many companies are expected to voluntarily obtain limited assurance to enhance credibility with investors and stakeholders, and mandatory assurance requirements may be introduced in future phases of implementation, particularly for the largest companies and most material disclosures. Speeki offers this service whenever our independence rules are ssatisfied
Uk SRS defines materiality following the same approach as the international IFRS S1 and S2 standards, which it is aligned with.
All disclosures required by IFRS S1 and IFRS S2 are subject to an assessment of materiality. The International Accounting Standards Board's (IASB) definition of material information and primary users is consistent with the Conceptual Framework for Financial Reporting (Conceptual Framework). IFRS S1 uses definitions and requirements that are consistent with the IASB's Conceptual Framework, IAS 1 Presentation of Financial Statements and IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors.
Financial Materiality Focus: IFRS S1 and S2 are focused on financially material environmental, social, and governance (ESG) risks and opportunities that affect the overall bottom line. This represents a "single materiality" approach focused on financial impacts to the entity, as opposed to the "double materiality" concept used in some other frameworks like the European CSRD.
An important objective of the Uk SRS is to deliver decision-useful and credible information about sustainability and climate-related financial risks and opportunities to investors.
The UK SRS will provide investors with standardized, comparable information to assess sustainability performance and risks across companies, potentially improving access to sustainable finance for well-performing companies.
Robust sustainability reporting under UK SRS will be essential for directing this capital toward companies with credible transition strategies. Companies with comprehensive, assured sustainability disclosures are likely to benefit from improved ESG ratings, reduced cost of capital, and enhanced stakeholder confidence.
Failing to use an automation platform like Speeki or choosing one that is ONLY focused on reporting. Speeki is a broader Sustainability Management System and allows you to build programmes across 20 different sustainability topics.
Produce your sustainability reports following UK SRS with Speeki.
