The ISSB is responsible for developing a global baseline of sustainability-related disclosure standards for use by entities preparing general purpose financial reports. It operates alongside the International Accounting Standards Board (IASB) under the oversight of the IFRS Foundation, supporting greater connectivity between financial reporting and sustainability-related disclosures

The formation of the ISSB resulted in the consolidation of two pre-existing sustainability frameworks, namely The Climate Disclosure Standards Board and The Value Reporting Foundation’s Integrated Reporting Framework. This brought the SASB Standards under the oversight of the ISSB and into its standard-setting approach.

The Task Force on Climate-related Financial Disclosures (TCFD) framework forms the bedrock of the first two standards issued by the ISSB.

The ISSB has focused its initial efforts on general disclosure requirements and climate-related reporting, issuing its first two IFRS Sustainability Disclosure Standards in June 2023:

• IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information
• IFRS S2 Climate-related Disclosures

IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information

IFRS S1 sets out the general requirements for sustainability-related financial disclosures. It requires an entity to disclose material information about the sustainability-related risks and opportunities to which it is exposed, including information about the entity’s governance, strategy, risk management, and metrics and targets. The standard permits reference to other standards and frameworks in the absence of topic specific IFRS Sustainability Disclosure Standards.

• Find out more about IFRS S1’s disclosure requirements

IFRS S2 Climate-related Disclosures

IIFRS S2 focuses on climate-related risks and opportunities and requires disclosure of information across governance, strategy, risk management and metrics and targets. This includes information about physical risks (eg, extreme weather events) as well as transition risks (eg, changes in customer behaviour). An in-scope entity will also be required to disclose information on its transition planning, climate resilience as well as its scope 1, 2 and 3 emissions.

• Find out more about IFRS S2’s disclosure requirements

In February 2026, the UK Government published UK Sustainability Reporting Standards (UK SRS), which are UK-endorsed versions of the ISSB’s IFRS Sustainability Disclosure Standards. UK SRS are closely aligned with the ISSB Standards and differ only where necessary to reflect UK-specific considerations. They are available for voluntary adoption with the possibility of becoming mandatory for certain entities in due course.

• Find out more about UK SRS

The ISSB has established its global baseline for sustainability reporting through the issuance of IFRS S1 and IFRS S2. Its strategic focus is now on supporting the effective and consistent implementation of these standards, while continuing to progress work on other investor-relevant sustainability topics over time.

Following its first Request for Information, Consultation on Agenda Priorities, issued in May 2023, the ISSB published a Feedback Statement in June 2024 and confirmed its work plan for the 2024-2026 period. The ISSB identified its core areas of activity during this period, with primary emphasis on implementation support for IFRS S1 and IFRS S2.

Supporting implementation of IFRS S1 and IFRS S2

Supporting consistent application of IFRS S1 and IFRS S2 is a high priority for the ISSB. Since issuing the two standards, the ISSB has undertaken a broad programme of implementation support, including the publication of educational material and guidance. 

The ISSB has also established a Transition Implementation Group (TIG) to discuss and analyse implementation questions submitted by stakeholders. The TIG supports consistent application of the standards and helps the ISSB assess whether additional action or standard-setting action is needed. It also serves as a public forum to help preparers learn about the new standards.

In addition, the IFRS Foundation’s Knowledge Hub provides access to range of third-party resources (curated by the IFRS Foundation and their partners) to help preparers get started with IFRS Sustainability Disclosure Standards.

A full list of supporting materials for IFRS S1 and IFRS S2 is available on the IFRS Foundation’s website:

• Supporting materials for IFRS Sustainability Disclosure Standards

Enhancing SASB Standards

As part of its workplan, the ISSB is progressing targeted enhancements to the SASB Standards, which are an important source of industry-based guidance for the application of IFRS S1.

The proposed amendments focus on a priority set of industries, with changes to SASB metrics designed to be targeted and proportionate, and to support consistent application in practice.

Nature-related Disclosures

Looking ahead, the ISSB has agreed to develop proposals on nature related disclosures in the form of an IFRS Practice Statement. This work will build on the existing requirements in IFRS S1, which already require entities to disclose material sustainability related risks and opportunities — including those related to nature — that could reasonably be expected to affect an entity’s prospects.

The Practice Statement would not change the requirements in IFRS S1 or IFRS S2, but would provide guidance on how companies may identify and disclose material nature related risks and opportunities, drawing on the Taskforce on Nature related Financial Disclosures (TNFD) framework. 

Human Capital

The ISSB is also progressing a research project on human capital, exploring the disclosure of human capital related risks and opportunities and assessing whether there is a case for developing future disclosure requirements in this area.

Global alignment in sustainability reporting

Achieving global alignment with sustainability reporting initiatives in other jurisdictions remains a priority for the ISSB. 

As part of this effort, the ISSB is developing and publishing jurisdictional profiles that describe each jurisdiction’s current and planned approach to the adoption or other use of ISSB Standards. This initiative aims to provide greater transparency to capital markets, regulators and other stakeholders regarding the global uptake of ISSB Standards.