While the UK is no longer a member of the European Union, UK-based companies with substantial operations in the EU are still within the scope of CSRD.
Specifically, if a UK company has a net turnover of more than €150 million in the EU and operates significant branches or subsidiaries within the EU, it is required to comply with CSRD.
Even for UK companies not directly subject to CSRD, the directive can still have indirect implications. Companies in the UK that do business with EU-based entities may face pressure from their partners or clients to provide sustainability data in line with CSRD requirements. As a result, many UK companies are choosing to voluntarily align with CSRD to maintain their competitive edge and ensure smooth operations within the EU market.
For UK companies seeking clarity on whether they fall within the scope of CSRD, it’s advisable to consult legal and compliance experts. Understanding your obligations early on can help mitigate risks and ensure that your company remains compliant with international sustainability standards.
For further reading, download our free CSRD reporting guide, or speak to our team today about your CSRD requirements.