Beyond the G20: The State of Play in Sustainability Disclosure & Assurance

This report highlights that while sustainability reporting in these regions is rapidly improving and nearing the levels of G20 countries, the assurance of these reports continues to lag behind.

Key Findings from the Report

• Reporting in these jurisdictions is closing in on the G20 while assurance lags.
  Sustainability reporting in these additional jurisdictions has increased from 84% in 2019 to 95% in 2022, including a six-percentage point increase between 2021 and 2022. In comparison, G20 jurisdictions reported at 98% in fiscal year 2022. Meanwhile, sustainability report assurance in these additional jurisdictions declined slightly from 48% in 2021 to 47% in 2022, widening the gap with the G20 from 16-percentage points to 22-percentage points.
• More audit firms are using ISAE 3000 (Revised).
  Audit firms increased their use of ISAE 3000 (Revised) from 81% to 88% between 2021 and 2022. The rise in ISAE 3000 (Revised) suggests audit firms are preparing for the adoption of the International Audit and Assurance Standards Board’s (IAASB) International Standards on Sustainability Assurance (ISSA) 5000.
• Use of multiple sustainability standards remains common, causing global and regional fragmentation.
  Companies in these additional jurisdictions frequently apply more than one sustainability reporting standard or framework. However, companies increased their use of SASB Standards by 24% and their reference to the TCFD Framework by 19% from 2021 to 2022. This trend suggests companies are preparing to use the International Sustainability Standards Board’s (ISSB) IFRS S1 and S2 standards.