BEIS Consultation: Mandatory climate-related financial disclosures

ClientEarth argues that the BEIS proposals for climate-related financial disclosures are inadequate and recommends a mandatory approach aligned with the full TCFD framework and Paris Agreement goals, supported by stronger regulatory enforcement and auditor assurance.

• ClientEarth asserts that UK companies frequently fail to disclose material climate-related information despite investor demand, which may constitute a breach of the law.
• The briefing recommends that the government require companies to disclose against all eleven TCFD Recommended Disclosures, noting that BEIS's current proposal excludes scenario analysis and deviates from these industry standards.
• ClientEarth proposes a 'TCFD+' approach, requiring companies to disclose a 'Paris-aligned' strategy and financial accounts with a credible plan to reach net zero GHG emissions by 2050.
• The document argues against a 'comply or explain' model, stating that disclosure obligations must be strictly mandatory to prevent 'greenwash' and avoid delays in compliance.
• To increase accountability, ClientEarth recommends introducing a legal requirement for non-binding advisory 'say on climate' votes at AGMs for listed and large private companies.
• The briefing identifies a significant enforcement gap, claiming the FRC and FCA have failed to take public action against high-risk sector companies that omit climate risks, and calls for powers to require reporting restatements.
• ClientEarth suggests that auditors should be required to provide an integrated audit of the entire annual report or, as an interim step, a 'limited assurance' opinion on climate-related disclosures in the Strategic Report.

APA

ClientEarth (2021). BEIS Consultation: Mandatory climate-related financial disclosures. https://www.clientearth.org/media/4k4amy11/clientearth-briefing-beis-consultation-on-mandatory-climate-change-related-disclosures.pdf

Chicago

ClientEarth. BEIS Consultation: Mandatory climate-related financial disclosures. 2021. https://www.clientearth.org/media/4k4amy11/clientearth-briefing-beis-consultation-on-mandatory-climate-change-related-disclosures.pdf.

Wikipedia

{{cite report |author=ClientEarth |title=BEIS Consultation: Mandatory climate-related financial disclosures |date=April 2021 |url=https://www.clientearth.org/media/4k4amy11/clientearth-briefing-beis-consultation-on-mandatory-climate-change-related-disclosures.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{clientearth2021beis, author = {{ClientEarth}}, title = {{BEIS Consultation: Mandatory climate-related financial disclosures}}, institution = {ClientEarth}, year = {2021}, month = apr, url = {https://www.clientearth.org/media/4k4amy11/clientearth-briefing-beis-consultation-on-mandatory-climate-change-related-disclosures.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }