10 Items for Noting
Appendix A: Technical Advisory Committee Update
Executive Summary
| Field | Description
## Appendix A: Technical Advisory Committee Update {: #appendix-a }
### Executive Summary
<div class="table-container" markdown="1">
| Field | Description ```
## Appendix A: Technical Advisory Committee Update {: #section-a }
### Executive Summary
<div class="table-container" markdown="1">
| Field | Description |
|---------------------|-------------|
| Project Type | Monitoring |
| Project Scope | Limited |
**Purpose of the paper**
This paper provides a summary of the agenda and papers for the UK Sustainability Disclosure Technical Advisory Committee (TAC) meeting, on 8 July 2025.
**Summary of the Issue**
The TAC was tasked by the Department for Business and Trade[^1] (DBT) to assess the IFRS Sustainability Disclosure Standards, from a technical perspective, and provide advice[^2] to the Secretary of State on whether their endorsement would be conducive to the long-term public good in the UK.
In addition to the TAC, the Policy Implementation Committee (PIC) is responsible for ensuring that any endorsed standards are implemented in a way that aligns with the mandates of UK government departments and regulator representatives.
On 18 December 2024, the TAC concluded[^3] that the endorsement of both IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information (IFRS S1) and IFRS S2 Climate-related Disclosures (IFRS S2), was likely to be conducive to the long-term public good in the UK. The TAC will continue to meet monthly during 2025 (refer Appendix A).
The UKEB is represented on the Committee by a Board Member, who is appointed as a full TAC member to reflect the need to maintain connectivity between UK adopted international accounting standards and UK Sustainability Reporting Standards.
<div class="table-container" markdown="1">
| Field | Description |
|---------------------------|----------------|
| Questions for the Board | None |
| Recommendation | N/A – noting only |
</div>
## Appendices
<div class="table-container" markdown="1">
| Annex | Description |
|---------|-------------------------------------------------------|
| Annex A | UK Sustainability Disclosure TAC 2025 meeting schedule |
</div>
### TAC meeting – July 2025
<a class="section__global-number" href="#paragraph-A1" id="paragraph-A1">A1.</a> The TAC Secretariat will publish an official record of the meetings and decisions in due course. A summary of the agenda and papers for items relevant to the UKEB remit is noted below for information.
<a class="section__global-number" href="#paragraph-A2" id="paragraph-A2">A2.</a> Due to the timing of the July TAC meeting, and the distribution of the UKEB papers, a verbal update can be provided in the UKEB July 2025 meeting, if required.
#### General Reporting Update {: #general-reporting-update }
<a class="section__global-number" href="#paragraph-A3" id="paragraph-A3">A3.</a> The TAC noted a summary of local and international sustainability news and jurisdictional developments.
#### Proposed amendments to SASB Standards {: #proposed-amendments-to-sasb-standards }
<a class="section__global-number" href="#paragraph-A4" id="paragraph-A4">A4.</a> At the 18 June 2025 meeting of the ISSB, the Board approved two Exposure Drafts (EDs). The first ED proposed amendments to nine priority SASB Standards (including consequential amendments to 41 other SASB standards). The second proposed related consequential amendments to the Industry-based Guidance on Implementing IFRS S2 Climate-related Disclosures.
<a class="section__global-number" href="#paragraph-A5" id="paragraph-A5">A5.</a> The TAC paper noted that DBT[^6] has requested that the Committee undertakes a proportionate analysis of the ISSB's enhancements to the SASB Standards and identifies any implications for UK Sustainability Reporting Standards.
<a class="section__global-number" href="#paragraph-A6" id="paragraph-A6">A6.</a> The TAC Secretariat proposed project management approaches to coordinate responses to the EDs and requested guidance on an approach from the TAC.
#### Proposed amendments to IFRS S2 – Due Process {: #proposed-amendments-to-ifrs-s2-due-process }
<a class="section__global-number" href="#paragraph-A7" id="paragraph-A7">A7.</a> As part of the TAC Due Process, the Secretariat documented a summary of the governance steps followed in the preparation of the TAC's Final Comment Letter[^8] to the ISSB on the recent proposed amendments to IFRS S2 Climate-related Disclosures.
### Annex A: UK Sustainability Disclosure TAC meeting schedule {: #annex-a-uk-sustainability-disclosure-tac-meeting-schedule }
<a class="section__global-number" href="#paragraph-A8" id="paragraph-A8">A8.</a> UK Sustainability Disclosure TAC meetings, in 2025, are scheduled as follows:
<ol markdown="1" type="a">
A9. The public meeting agenda, technical papers and summary minutes from the TAC meetings can be found on the UK Sustainability Disclosure Technical Advisory Committee website[^9].
## Appendix B: Sustainability Update {: #appendix-b }
### ISSB meeting
#### June 2025
<a class="section__global-number" href="#paragraph-B1" id="paragraph-B1">B1.</a> The ISSB met in Beijing on 18 June 2025 and ratified proposed amendments to enhance SASB standards (SASB Exposure Draft). The SASB Exposure Draft proposes amendments to nine[^1] high priority Standards and targeted amendments to another 41 Standards[^2] to ensure consistent disclosure guidance across SASB Standards.
<a class="section__global-number" href="#paragraph-B2" id="paragraph-B2">B2.</a> The ISSB also tentatively approved amendments to the Industry-based Guidance on Implementing IFRS S2 to maintain alignment with the proposed changes in the SASB Exposure Draft.
<a class="section__global-number" href="#paragraph-B3" id="paragraph-B3">B3.</a> The ISSB intend to begin the balloting process for the exposure draft of proposed amendments to the IFRS S2 industry-based guidance and to publish both Exposure Drafts in July 2025[^3].
### IFRS Foundation
<a class="section__global-number" href="#paragraph-B4" id="paragraph-B4">B4.</a> As part of the London Climate Action Week[^4] the IFRS Foundation held sessions on climate-transition plans and accelerating the integration of climate-related matters into corporate and investment decision-making.
<a class="section__global-number" href="#paragraph-B5" id="paragraph-B5">B5.</a> The Foundation also published guidance on disclosures relating to net zero transition plans[^5] which builds on disclosure-specific material developed by the Transition Plan Taskforce. The guidance is intended to be used by jurisdictions adopting or otherwise using ISSB Standards[^6].
<a class="section__global-number" href="#paragraph-B6" id="paragraph-B6">B6.</a> The Foundation published an article regarding using ISSB Standards with the revised Management Commentary Practice Statement[^7]. It was noted that it was anticipated to facilitate better connections between financial statements and sustainability-related financial disclosures.
<a class="section__global-number" href="#paragraph-B7" id="paragraph-B7">B7.</a> At the annual IFRS Conference the IASB and ISSB provided a joint update, and a workshop was held with a panel of investors, preparers and auditors which discussed perspectives on connectivity between financial statements and sustainability-related financial disclosures.
### UK updates
<a class="section__global-number" href="#paragraph-B8" id="paragraph-B8">B8.</a> The Department for Business and Trade (DBT) opened a consultation[^8] on an Exposure draft of UK Sustainability Reporting Standards: UK SRS S1 and UK SRS S2. These are based on IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures. The government has proposed a limited number of minor amendments which include:
<ol markdown="1" type="a">
B9. The consultation also seeks evidence on the costs and benefits of using the UK SRS. This evidence will inform future government decisions when it considers whether to require entities to report information using the Standards. The consultation will close on 17 September 2025.
<a class="section__global-number" href="#paragraph-B10" id="paragraph-B10">B10.</a> The UK Sustainability Disclosure Technical Advisory Committee (TAC) is scheduled to meet on 8 July 2025. Please refer to the TAC Update paper in the UKEB July public papers for noting.
### European updates
<a class="section__global-number" href="#paragraph-B11" id="paragraph-B11">B11.</a> The European Financial Reporting Advisory Group (EFRAG) submitted a detailed progress report to the European Commission outlining proposed simplifications to European Sustainability Reporting Standards (ESRS) in June. The proposed revisions seek to reduce the administrative burden on companies while preserving the core goals of the EU Green Deal. Key simplifications include:
<ol markdown="1" type="a">
B12. EFRAG will conduct a public consultation and then submit final technical advice to the European Commission (EC) by October 2025. It is anticipated that the EC will adopt the revised ESRS via a delegated act by the end of 2025.
## Appendix C: Advisory Groups Update {: #appendix-c }
### Executive Summary
<div class="table-container" markdown="1">
| Field | Description |
|-------------------------|-------------|
| Project Type | N/A |
| Project Scope | N/A |
</div>
**Purpose of the paper**
The purpose of this paper is to provide an update on meetings held by the following UKEB Advisory Groups and Working Groups, to accompany the verbal updates given by their Chairs:
- Academic Advisory Group (Chair: Michael Wells)
- Accounting Firms and Institutes Advisory Group (Chair: Tony Clifford)
- Investor Advisory Group (Chair: Paul Lee)
- Preparer Advisory Group (Chair: Owen Glaysher)
- Rate-regulated Activities Technical Advisory Group (Chair: Phil Aspin)
- Financial Instruments Working Group (Chair: Peter Drummond)
- Sustainability Working Group (Chair: Seema Jamil-O'Neill)
### Summary of the Issue
All the groups, set out above, are advisory, consultative groups. They are not decision-making bodies. The advisory groups provide specialist knowledge and information as input into the Board's technical decision-making, while the working groups solely advise the UKEB Secretariat.
The [Advisory Groups](https://www.example.com/advisory-groups) webpage of the UKEB website sets out the purpose of each group, a list of each group's members and their biographies, and a link to its Terms of Reference. In addition, minutes for each meeting are uploaded as they become available.
The table below also sets out the meetings held by these groups during the last 12 months and includes links to the meeting minutes, available at the time of writing.
Since the June 2025 Board meeting, none of the groups have met.
The summary minutes of the Investor Advisory Group (IAG) meeting, on 2 June 2025, were published on the UKEB website on 27 June 2025.
### Decisions for the Board
No decisions required
### Recommendation
The Board is recommended to review the summary minutes of the groups' meetings.
<div class="table-container" markdown="1">
| Group | Meeting Date | Link to Minutes | Date of publication |
|-----------------------------------------------|-----------------------|---------------------------|--------------------------|
| [Academic Advisory Group](https://www.example.com/academic-advisory-group) | 23 September 2024 | [Summary Minutes](https://www.example.com/summary-minutes-1) | 18 October 2024 |
| | 25 April 2025 | [Summary Minutes](https://www.example.com/summary-minutes-2) | 22 May 2025 |
| [Accounting Firms and Institutes Advisory Group](https://www.example.com/accounting-firms-and-institutes-advisory-group) | 1 July 2024 | [Summary Minutes](https://www.example.com/summary-minutes-3) | 26 July 2024 |
| | 7 November 2024 | [Summary Minutes](https://www.example.com/summary-minutes-4) | 5 December 2024 |
| | 11 March 2025 | [Summary Minutes](https://www.example.com/summary-minutes-5) | 10 April 2025 |
| | 10 June 2025 | To be published | (within 1 month) |
| [Investor Advisory Group](https://www.example.com/investor-advisory-group) | 4 November 2024 | [Summary Minutes](https://www.example.com/summary-minutes-6) | 26 November 2024 |
| | 3 February 2025 | [Summary Minutes](https://www.example.com/summary-minutes-7) | 26 February 2025 |
| | 2 June 2025 | [Summary Minutes](https://www.example.com/summary-minutes-8) | 27 June 2025 |
| [Preparer Advisory Group](https://www.example.com/preparer-advisory-group) | 28 October 2024 | [Summary Minutes](https://www.example.com/summary-minutes-9) | 27 November 2024 |
| | 3 March 2025 | [Summary Minutes](https://www.example.com/summary-minutes-10) | 2 April 2025 |
| | 16 June 2025 | To be published | (within 1 month) |
| [Rate-regulated Activities Technical Advisory Group](https://www.example.com/rate-regulated-activities-technical-advisory-group) | 27 June 2024 | [Summary Minutes](https://www.example.com/summary-minutes-11) | 26 July 2024 |
| | 20 September 2024 | [Summary Minutes](https://www.example.com/summary-minutes-12) | 18 October 2024 |
| | 29 November 2024 | [Summary Minutes](https://www.example.com/summary-minutes-13) | 20 December 2024 |
| | 16 June 2025 | To be published | (within 1 month) |
| [Financial Instruments Working Group](https://www.example.com/financial-instruments-working-group) | 16 July 2024 | [Summary Minutes](https://www.example.com/summary-minutes-14) | 15 August 2024 |
| | 12 November 2024 | [Summary Minutes](https://www.example.com/summary-minutes-15) | 11 December 2024 |
| | 13 January 2025 | [Summary Minutes](https://www.example.com/summary-minutes-16) | 12 February 2025 |
| | 1 April 2025 | [Summary Minutes](https://www.example.com/summary-minutes-17) | 30 April 2025 |
| Sustainability Working Group | - | - | - |
</div>
### Footnotes
[^1]: Section B: UK Sustainability Disclosure TAC [Terms of Reference](https://www.example.com/terms-of-reference).
[^2]: [Context letter](https://www.example.com/context-letter) from the Department for Business and Trade (May 2024) suggests that the TAC may wish to consider whether definitions in IFRS S1 and IFRS S2 are sufficiently clear, and whether any significant incompatibilities are identified with those currently used UK adopted international accounting standards.
[^3]: TAC endorsement recommendation - [UK Endorsement of IFRS S1 and IFRS S2](https://www.example.com/uk-endorsement-of-ifrs-s1-and-ifrs-s2).
[^4]: [IFRS Foundation and ISSB at London Climate Action Week](https://www.example.com/ifrs-foundation-and-issb-at-london-climate-action-week)
[^5]: [IFRS Foundation publishes guidance on disclosures about transition plans](https://www.example.com/ifrs-foundation-publishes-guidance-on-disclosures-about-transition-plans)
[^6]: TAC priorities ([Letter from Department for Trade and Business 3 June 2025](https://www.example.com/letter-from-department-for-trade-and-business-3-june-2025))
[^7]: [Using ISSB Standards with the revised Management Commentary Practice Statement](https://www.example.com/using-issb-standards-with-the-revised-management-commentary-practice-statement)
[^8]: [TAC Final Comment Letter Exposure Draft ISSB/ED/2025/1 Amendments to Greenhouse Gas Emissions Disclosures](https://www.example.com/tac-final-comment-letter-exposure-draft) (Proposed amendments to IFRS S2).
[^9]: [UK Sustainability Disclosure Technical Advisory Committee](https://www.example.com/uk-sustainability-disclosure-technical-advisory-committee)
**Additional Footnotes (no explicit link in PDF text, but content provides context):**
[^1]: These include SASB Standards relating to Coal Operations, Construction Materials, Iron & Steel Producers, Metals & Mining, Oil & Gas (x4) and Processed Foods.
[^2]: The proposed targeted amendments related to metrics associated with (a) greenhouse gas emissions; (b) energy management; (c) water management; (d) labour practices; and (e) workforce health & safety.
[^3]: ISSB proposes comprehensive review of priority SASB Standards and targeted amendments to others
[^6]: IFRS S2 does not require an entity to create a transition plan but does require an entity to provide material information about its sustainability-related risks and opportunities, which includes information about its climate-related transition.
[^8]: Exposure drafts: [UK Sustainability Reporting Standards](https://www.example.com/uk-sustainability-reporting-standards)
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