A UK version of the global benchmark standard for sustainability assurance was released Wednesday by the UK Financial Reporting Council (FRC).
International Standard on Sustainability Assurance (UK) 5000, General Requirements for Sustainability Assurance Engagements, is intended to promote quality, consistency, and international alignment across sustainability assurance engagements.
“The FRC remains committed to globally aligned frameworks that promote streamlined reporting, consistent audit and assurance standards, and reliable information for investors and other users of reporting,” a news release said. The standard is intended for voluntary use by UK assurance providers and aligns with the international standard.
The standard, modelled after the one developed by the International Auditing and Assurance Standards Board, provides comprehensive requirements for conducting sustainability assurance engagements, applicable to both limited and reasonable assurance, the release said. It aims to support more informed investment decisions and enhance the attractiveness of the UK as a destination for sustainable finance.
“[The standard] reflects our commitment to internationally aligned standards and supports the growing demand for high-quality, assured sustainability information which users can trust,” Mark Babington, the FRC’s executive director of regulatory standards, said in the release. “By underpinning investor confidence in sustainability disclosures, this standard will help UK companies access capital more efficiently and contribute to long-term economic growth.”
— To comment on this article or to suggest an idea for another article, contact Steph Brown at Stephanie.Brown@aicpa-cima.com.
