The State of Play in Reporting and Assurance of Sustainability Information: Update 2019-2020 Data & Analysis is designed to update understanding (based on 2020 reporting) of market practice for the assurance of environmental, social, and governance (ESG or sustainability) information, globally.

This report is an update to the The State of Play in Sustainability Assurance report published in July 2021.

The International Auditing and Assurance Standards Board (IAASB) has issued a non-authoritative publication to address some of the common questions related to reporting going concern matters in the auditor’s report. Specifically, the publication focuses on the use of and interrelationship of the Material Uncertainty Related to Going Concern and Key Audit Matters sections, and the Emphasis of Matter paragraphs, in an auditor’s report prepared in accordance with the International Standards on Auditing (ISAs).

This publication does not amend or override the International Standards on Auditing, the texts of which alone are authoritative. Reading the publication is not a substitute for reading the ISAs.

The International Auditing and Assurance Standards Board (IAASB) has submitted a response to the International Sustainability Standards Board (ISSB) on its exposure drafts on sustainability- and climate-related disclosures. In its response, the IAASB noted the importance of reliable, high-quality, globally consistent sustainability reporting that investors and regulators are able to trust.

“The reliability and quality of sustainability reporting and supporting investors’ and regulators’ trust in the sustainability information hinge on the effectiveness of the external reporting supply chain,” noted IAASB Chair Tom Seidenstein. “As in financial reporting, external assurance has a key role in contributing to reporting reliability and investor confidence. This is why the IAASB’s feedback focuses on the ability of practitioners to obtain assurance on an entity’s sustainability reporting prepared in accordance with the ISSB draft standards, and why we’re committed to collaborating with and supporting the ISSB.”

The IAASB highlighted the value of long-term cooperation between the IAASB and ISSB, as well as the International Ethics Standards Board for Accountants, to strengthen the connectivity between sustainability reporting external sustainability assurance, and ethical standards—especially as standards become increasingly refined and enhanced. External assurance should play a crucial role in enabling organizations to demonstrate that the sustainability information reported is reliable and credible.

The IAASB has begun its journey to sustainability reporting assurance standards: at the June 2022 IAASB meeting, the IAASB committed to its next steps in developing a bespoke assurance standard for sustainability reporting. This journey to enhanced sustainability assurance standards was noted recently by the Financial Stability Board’s decision to include the IAASB’s work in its Climate Roadmap.

About the IAASB
The International Auditing and Assurance Standards Board develops auditing and assurance standards and guidance for use by all professional accountants under a shared standard-setting process involving the Public Interest Oversight Board, which oversees the activities of the IAASB, and the IAASB Consultative Advisory Group, which provides public interest input into the development of the standards and guidance. The structures and processes that support the operations of the IAASB are facilitated by the International Federation of Accountants (IFAC). For copyright, trademark, and permissions information, please go to permissions or contact permissions@ifac.org.

The IAASB submitted this comment letter to the International Sustainability Standards Board on its exposure drafts on sustainability- and climate-related disclosures. In its response, the IAASB noted the importance of reliable, high-quality, globally consistent sustainability reporting that investors and regulators are able to trust.

The International Auditing and Assurance Standards Board (IAASB) today released its First-Time Implementation Guide for ISA 315 (Revised 2019), Identifying and Assessing the Risks of Material Misstatement. The guide focuses on the more substantial changes that were made to International Standard on Auditing (ISA) 315 (Revised 2019) and will help stakeholders understand and apply the revised standard as intended.

ISA 315 (Revised 2019) is effective for audits of financial statements for periods beginning on or after December 15, 2021. This publication does not amend or override ISA 315 (Revised 2019), the text of which alone is authoritative. Reading this publication is not a substitute for reading the standard.

This guide focuses on the more substantial changes that were made to International Standard on Auditing 315 (Revised 2019) and will help stakeholders understand and apply the revised standard as intended. ISA 315 (Revised 2019) is effective for audits of financial statements for periods beginning on or after December 15, 2021.

This publication does not amend or override ISA 315 (Revised 2019), the text of which alone is authoritative. Reading this publication is not a substitute for reading the standard.

This non-authoritative Frequently Asked Questions publication addresses some of the common questions related to reporting going concern matters in the auditor’s report. Specifically, the publication focuses on the use of and interrelationship of the Material Uncertainty Related to Going Concern and Key Audit Matters sections, and the Emphasis of Matter paragraphs, in an auditor’s report prepared in accordance with the International Standards on Auditing (ISAs).

A global framework for public sector sustainability reporting is needed to avert climate disaster and achieve the UN SDGs. Join the IPSASB for a webinar on Advancing Public Sector Sustainability Reporting in the public sector.

The International Auditing and Assurance Standards Board (IAASB) today published its Public Report detailing its support for the public interest for the year ended December 31, 2021. During this 12-month period, the IAASB approved the final revised standard on group audits, agreed its Work Plan for 2022-2023 that included a dedicated workstream on enhanced sustainability assurance standards, and developed and implemented its Framework for Activities, among other actions.

The year 2021 also included the transformational milestone of launching IAASB’s first fully digital handbook, in collaboration with the International Federation of Accountants. The new online platform, e-International Standards (eIS), highlights the IAASB’s commitment to improving the usability of, and access to, its standards by harnessing technology.