17 June 2020 — News
Accountancy Europe releases 3 publications to shape the debate on non-financial information (NFI) reporting. Accountants have the skills and knowledge to lead this discussion. Based on their expertise, Accountancy Europe urges more reliable EU NFI reporting, offers a view on NFI assurance, and progresses the debate on a global NFI standard setter.
In our response to the European Commission (EC) Non-Financial Reporting Directive consultation, we support corporate reporting that connects financial and non-financial information. We advocate for strengthening NFI assurance requirements, building a common comprehensive NFI standard and tackling the substantial issues in NFI reporting. In particular, the EU should consider that:
We released Setting up for high-quality non-financial information assurance in Europe to supplement our consultation response. This position paper investigates 3 conditions to provide high-quality and consistent NFI assurance across Europe:
In the broader debate to improve NFI reporting, the EC announced that it intends to develop a European NFI standard setter. Before this announcement, we had issued a Cogito project where an independent task force built the case for setting global interconnected NFI standards.
Our new Follow up paper: interconnected standard setting for corporate reporting analyses the feedback received from our 40+ respondents. Their key takeaways include:
A significant achievement of this project is the exclusive statement from CDP, Climate Disclosure Standards Board, Global Reporting Initiative and Sustainability Accounting Standards Board, which confirms their commitment to working together towards a globally harmonised system. This answers stakeholders’ calls for NFI initiatives to move more decisively towards convergence.
Our work to achieve reliable and comparable NFI reporting facilitates the shift to a sustainable economy. If corporate information is transparent, includes environmental and social impact, and can be verified, stakeholders can make the right decisions to help move to a sustainable economy.