EU Proposes Slashing ESG Reporting Rules by More Than Two-Thirds

The European Commission’s accounting adviser Thursday released abridged environmental, social, and governance reporting rules for public comment, designed to significantly cut disclosures.

“It’s a major simplification,” Patrick de Cambourg, chair of the EFRAG Sustainability Reporting Board, said in a video meeting Thursday.

EFRAG wrote the sustainability reporting rules that have been mandatory since 2024 for EU companies employing more than 500 people. However, plans to extend that to firms with more than 250 people from this reporting year drew protests from countries such as Germany and France, as well as from companies.

The original requirements have been put ...