Requirement to disclose climate-related information introduced
Implementation date: 6 April 2022
The Companies (Strategic Report) (Climate-related Financial Disclosure) Regulations 2022 (SI 2022/31) introduce a requirement for some companies to provide climate-related financial disclosures in their strategic report. The Regulations specify which organisations must comply, including those that are already required to produce a non-financial information statement.
According to the explanatory memorandum to the Regulations, the aim of this new duty is to "promote the management of climate-related financial risk and opportunities across our economy and financial system". The Regulations bring into force the recommendations of the Financial Stability Board's Taskforce on climate-related financial disclosures, which set out how companies can assess and disclose their governance, strategy, risk management, metrics and targets related to climate change.
The Government has published guidance to accompany the Regulations.