What Does It Mean That the IFRS Period Is About to End?
What Does the End of This Period Mean for Organizations?
Relationship with New International Regulations (CSRD, Taxonomy, ISOs, etc.)
The 3 Main Challenges for Companies
3 Key Recommendations for Your Company
Dcycle as the Integral ESG Solution
Frequently Asked Questions (FAQs)
With September 17 getting closer, the IFRS period is about to end and that completely changes the map for businesses in the UK. The consultation phase ends and what really matters begins, adapting to what is coming.
We are talking about a serious change, not a minor adjustment. Sustainability reporting is no longer a “nice to have”, it will become part of business.
Environmental, social and governance issues enter real reports, with data, with clear requirements and with consequences if not done properly.
More and more companies are using ESG information as a strategic lever. To improve efficiency. To win contracts. To avoid losing clients.
If we do not measure, we risk losing access to markets and contracts that demand verifiable data. That is why ESG management becomes a competitive lever.
From here, we will explain what IFRS S1 and S2 bring, why they will change the way sustainability is reported, and what steps you can take now to avoid falling behind.
IFRS S1 and S2 were born with a clear goal, to integrate sustainability in the same category as financial information. It is not about adding a nice section at the end of the report.
It is about explaining how ESG topics affect the business, with the same seriousness as we talk about revenues or debt.
During the consultation period, organizations have been able to give opinions, prepare, and explore how to apply these standards. But now that ends.
The end of the consultation period marks the start of the final process, the Government will review the responses and may publish final versions of the UK SRS. Initially, their use could be voluntary, and then the scope and obligation will be decided.
This change is not minor. It means moving from narrative to data.
From "we are looking into it" to "this is what we have done, what we have measured, and how it affects our decisions". It is a shift in mindset that will separate companies that lead from those that only react.
The margin for improvising is over. If until now some companies were waiting to see what happened, from now on it is time to act. Not reporting will no longer be an option. And reporting poorly, neither.
What is coming requires having solid, organized and reusable data. It is not enough to prepare a one-off report to get by.
Companies need a constant ESG management structure that allows them to respond to any demand, whether from a client, regulator, auditor or supplier.
Organizations that are already measuring their ESG impact have an advantage. Those that are not will need to catch up quickly.
And that means time, resources and internal reorganization. The time to decide whether this was relevant to you has already passed.
The IFRS do not only affect the annual report. They affect how we collect data, analyze it, and connect it with business. ESG management becomes a transversal function. It no longer lives in a sustainability team’s Excel file. It lives in the day-to-day of the company.
What IFRS demand is clarity, traceability and strategic focus. It is not enough to report emissions if you do not know how they affect your operations. It is not enough to have goals if you do not explain what resources you will use to achieve them.
And here is where ESG management makes sense. Not as an isolated project, but as a way of understanding the business more completely.
Because if you do not understand your impact, you cannot manage it.
And if you do not manage it, you will pay for it in costs, reputation or lack of competitiveness.
Although both standards are part of the same framework, each has a specific focus:
IFRS S1 is about general sustainability disclosures. It requires companies to report the main risks and opportunities related to ESG that could impact their financial performance.
This includes how these risks are managed, what strategies are in place, and how sustainability is integrated into day-to-day decision-making, including topics such as Carbon Footprint and emissions measurement.
IFRS S2, on the other hand, is dedicated exclusively to climate-related disclosures. It is aligned with the Task Force on Climate-related Financial Disclosures (TCFD) and demands detailed information on emissions (Scope 1, 2 and 3), energy use, and transition plans towards a low-carbon economy.
This makes climate a central axis of reporting, at the same level of importance as financial indicators.
The combination of both standards ensures that sustainability is not treated as a side note, but as a core element of corporate strategy and financial communication.
Before, every company reported as it wanted. Now, there are rules. The IFRS have shaped what an ESG report must include in order to be useful and comparable. This means changing the logic of many reports that only served for marketing or to meet minimum requirements.
The important thing now is not telling stories. It is about presenting useful information. With clear indicators, with recognized methodologies, and with a direct connection to the business strategy.
This influence is already visible in other regulations. The IFRS have set the tone, ESG information must be useful for financial decision-making. If it does not meet that criterion, it is unnecessary.
The IFRS are not alone. They are aligned with other rules already in force or on the way. For example, the CSRD in Europe follows a very similar logic, ESG data integrated into financial reports.
The same applies to the European Taxonomy, which requires explaining to what extent your economic activities are sustainable.
And to standards such as ISO 14067 or the GHG Protocol, which establish how to calculate emissions with precision.
Everything points in the same direction, unifying criteria. And this means companies can no longer prepare a different report for each stakeholder.
They need to have all their ESG information in order and ready to adapt to any demand.
The only way to do this properly is to have a system that centralizes ESG data and automatically translates it into the different formats required by each regulation, each client or each auditor. Anything else means wasting time and losing room for maneuver.
What used to be voluntary is now becoming mandatory. The end of the IFRS period marks the beginning of a stage where ESG reports are no longer an annex, but part of the core information the market expects.
Transparency requirements continue to grow. Clear, traceable and business-driven data are demanded. If we do not measure correctly, we cannot report correctly. And if we do not report correctly, we will face a problem.
This is not about preparing more reports. It is about having real control of information, ESG data you can use whenever and however you need.
Not complying is no longer just an internal failure. It has real consequences. The new rules leave little room for maneuver. Sanctions and trade blockages are already part of the landscape.
More and more sectors are required to report under frameworks such as IFRS, CSRD or the Taxonomy. And the requirements are not negotiable. Either you comply, or you are out of the game.
It is not about anticipating “just in case”. It is about complying to remain competitive.
Not preparing means taking unnecessary risks. Especially as the market increasingly aligns with sustainable finance frameworks that require structured, comparable ESG disclosures.
The market no longer accepts declarations. It demands data. Investors, clients and supply chains require ESG information that is verifiable, comparable and with a solid basis.
Generic reports are no longer useful. We need to show how we measure and why what we say makes sense. Because if we cannot prove it, it has no value.
To achieve this, we need all data in order. No searching through folders. No depending on spreadsheets or loose emails. This is about having a robust system that centralizes and structures ESG information from the source.
Companies that move ahead set the pace. While some are still trying to understand what IFRS are, others are already creating value with their ESG management.
Complying is not enough. The challenge is to use this information as a business lever. To enter markets, win bids, reduce costs and improve operations.
Those who prepare earlier operate better, respond faster and gain more trust. And that advantage is not improvised. It is built starting now.
Sustainability is no longer a label. It is a way of operating. Companies that understand this are using it to make smarter decisions more aligned with the demands of the environment.
Measuring impact is not an administrative task. It is a strategic tool. It allows us to see what works, what does not, and how to truly improve.
And this can only be achieved if we turn ESG data into part of the management system. Not as something external, but as a core axis that crosses all areas of the business. Without that, talking about sustainability is just noise.
One of the biggest challenges is at the base, the data. Most companies do not have their ESG information centralized. Each department collects its own, in different formats, with different criteria.
This makes everything slow, confusing and unreliable. And if the data is not right from the start, the report is useless. The IFRS demand traceability, not vague estimates.
We need a clear way to collect, organize and connect all that ESG information. Without that, there is no way to comply correctly with any regulation.
It is not only about having the data, but also about having clear processes to manage it. Many companies still depend on individual initiatives, with no defined roles and no cross-company structure.
The problem appears when it is time to report. If each team works on its own, aligning all that information becomes a mess. Time is wasted, errors appear, and decisions are poorly informed.
Establishing common processes is key to being agile. ESG must be inside the system, not as an addition.
Yes, adaptation has a cost. Measuring correctly, reporting with international standards, updating tools… all that requires effort and money.
But the expensive part is not adapting. The expensive part is doing it poorly or arriving late. If we do not prepare now, we will end up spending more to correct mistakes or face sanctions.
Thinking of it as an investment changes the perspective. Companies that structure their ESG management now will save time, resources and trouble in the medium term.
Those behind the IFRS are clear, the goal is not just more information, it is better information. Data connected with the business, useful for decision-making and comparable across companies.
The message is direct, reporting ESG is part of the business model. It is not something you can outsource once a year. It must be integrated into how you operate, how you define risks, investments and growth plans.
The most repeated advice is simple, start as soon as possible. The waiting time is over. Companies that today are still in the phase of “understanding what this is about” are already late.
The key is to have a solution that gathers everything. No isolated tools, no loose reports. We need a system that gives full control of ESG information and prepares it for whatever is required, CSRD, SBTi, Taxonomy, ISOs, or any other demand.
There are no shortcuts. There must be structure, data and a clear strategy. That is what will make the difference between complying and being left out.
It no longer makes sense to create reports manually, or to work with data spread across thousands of files. The current demands require agility, precision and traceability, and that is only achieved with technology.
Automating reports is not just about saving time. It is the only way to have real control over ESG information. Because when data is centralized, you can use it whenever and however you need.
Technology allows directly connecting ESG data with regulatory frameworks. There is no need to redo reports every time the regulation changes. If you have the right system, you adapt seamlessly.
Companies do not need a solution for each regulation. They need one solution for all. One that works for EINF, CSRD, SBTi, Taxonomy, ISOs or whatever comes next.
What makes the difference is how information is structured. If ESG data is organized from the source, you can export and adapt it to any standard without redoing everything.
At Dcycle, that is exactly what we do. We are not auditors or consultants. We are an ESG solution for companies. We gather all your data, keep it updated and transform it into the required format, without complications.
And this is not only about complying. It is about using that information as part of your business. To improve decisions, avoid risks and gain advantage.
The first step is to have the data. But not in any form. It must be reliable, complete and organized from the beginning. Because if it fails there, everything that follows fails.
A good system avoids mistakes, reduces manual tasks and gives real visibility. It is not enough to have the information if you cannot access it quickly, share it or adapt it to different requirements.
Doing it manually is no longer viable. Digital tools are not optional, they are part of how a company must operate to remain competitive.
It is not only about complying with the regulation. It is about being able to respond when a client requests data, when an audit arrives, or when a new regulation comes into force.
If you already have a tool that solves all this, you are ready. If not, every new demand becomes a problem.
Sustainability is not a compliance project. It is a lever to improve operations, enter new markets, access financing or win contracts.
Companies that only see it as a burden are missing the opportunity. Those that understand its strategic value are building advantages others will not be able to copy quickly.
And that begins with measuring correctly, managing with data and reporting with purpose. Technology, well used, is what makes all this possible without becoming chaos.
Dcycle is not a consultancy or an auditing firm. We are an ESG solution designed for companies that want to stop wasting time managing scattered data and start making decisions based on real information.
We collect all your ESG information in a single system. It does not matter if it comes from different teams, suppliers or external sources.
What used to be a mess of spreadsheets, emails and folders now becomes an organized structure.
And we do not just collect it, we connect it. We help you gain visibility over everything happening in your company, from emissions to social or governance matters. All in real time, without juggling.
One of Dcycle’s keys is flexibility. We are not designed for one specific regulation. We are prepared for all ESG use cases your company needs to address.
EINF, SBTi, CSRD, European Taxonomy, ISOs… it does not matter what comes. If your data is structured correctly from the start, you can generate any report without redoing everything each time.
The value is in the ability to adapt to the context. Today it may be a European requirement, tomorrow an internal audit or a client request.
With Dcycle you can centralize and structure your ESG data to adapt reports to frameworks such as CSRD, SBTi or UK SRS, which reduces adaptation effort when requirements change.
Centralizing your ESG information is not just a technical issue. It is a strategic decision. When all data is in one place, you gain control, agility and reaction capacity.
You no longer depend on manual processes or specific people to understand what is happening. You can view, compare, measure and act from a single platform.
That allows you to respond faster to what the market or regulation demands.
And above all, it gives you a real advantage over those who continue improvising. In a context where sustainability is directly linked to competitiveness, having a solution like Dcycle puts you one step ahead.
It means that the public consultation phase ends and the stage of real application begins. IFRS S1 and S2 are no longer optional drafts. Starting September 17, they become a reference for UK standards.
Companies will have to report their ESG risks and opportunities in a structured way. And not just with good intentions, but with concrete and comparable data.
It will demand more clarity, more detail and more coherence with the financial side. It will no longer be enough to publish a generic report or a set of loose indicators.
Information will be required that is aligned with frameworks already underway, and with an approach that connects directly to the business strategy.
Companies without their ESG data well managed now will face problems complying.
It depends on your company’s sector, size and location, but the trend is clear, it will be required of more companies in less time.
The CSRD, Taxonomy, SBTi targets, ISO standards… all are moving towards a model where ESG is part of the business core.
Waiting until it becomes mandatory is a bad strategy. Because when it is, you will already be late.
The main benefit is control. Having your ESG information organized, verified and available allows you to comply without improvisation and respond quickly to any requirement.
In addition, it positions you better in the market. Clients, suppliers, investors and partners are already demanding this information as part of commercial processes.
If you have it ready, you gain time, credibility and opportunities that others lose.
Dcycle is an ESG solution designed to centralize all your data in one place. No mess, no manual processes, no relying on third parties for each report.
We collect and structure your ESG information, and automatically adapt it to the use case you need, CSRD, EINF, Taxonomy, SBTi, ISOs or any other framework.
We are not consultants or auditors. We are a solution for companies that want to stop wasting time with poorly managed data and start using sustainability as a business advantage.
Because that is what it is. And increasingly, that is what it will be.
.png){kind=small}
Carbon footprint calculation analyzes all emissions generated throughout a product’s life cycle, including raw material extraction, production, transportation, usage, and disposal.
The most recognized methodologies are:
Digital tools like Dcycle simplify the process, providing accurate and actionable insights.
Some strategies require initial investment, but long-term benefits outweigh costs.
Investing in carbon reduction is not just an environmental action, it’s a smart business strategy.
.png)
.png)
