Boardroom briefing: sustainability | Q1 2026

This quarterly boardroom briefing for senior leaders summarises the latest sustainability developments most likely to affect your risk profile, compliance obligations and decision making. It sets out what needs board attention now, the questions to ask, and the actions to take in the next 90 days.

This quarter at a glance
UK Sustainability Reporting Standards (UK SRS) were published by the government. These are the country’s own versions of the global ISSB standards, published for voluntary use on 25 February 2026, and comprise of two elements. S1 covers general sustainability, while S2 focuses on climate. Together, they’re a reliable, comparable framework for sustainability disclosures that are designed to give markets and key stakeholders the information they need on the sustainability of a business.

Consultations will now run to explore the mandatory adoption of these standards. The FCA’s consultation proposed mandatory S2 (climate) reporting for listed companies for periods starting 1 January 2027, with Scope 3 emissions required on a comply-or-explain basis. Broader Companies Act changes for large private companies will likely be consulted-on later in 2026. The government is also working on a sustainability assurance regime, and the FRC plans an interim voluntary register for assurance practitioners by the middle of 2026.