PIMFA
Latest News
October 2026
- Financial Conduct Authority (FCA) PS26/19: Aligning Listed Issuers' Sustainability Disclosures with International Standards
The FCA has finalised rules requiring listed companies to report against UK Sustainability Reporting Standards (UK SRS), on a comply or explain basis.
The regulator is replacing the existing climate-reporting rules for listed issuers with requirements aligned with the UK-endorsed International Sustainability Standards Board (ISSB) standards. The changes aim to support well-functioning markets by giving investors consistent, decision-useful sustainability information. The FCA final rules apply a comply-or-explain approach across the UK Sustainability Reporting Standards (UK SRS) framework, promoting international alignment and comparability while allowing companies to explain how their circumstances affect their reporting.
The new rules apply to accounting periods starting on or after 1 January 2027, with first reporting in 2028. Companies can use transitional reliefs: 1 year for Scope 3 emissions disclosures, and 2 years for wider sustainability disclosures under UK SRS S1.
Read the policy statement here
June 2026
- Simplifying Climate Disclosure requirements for Investment Products
As part of the June Quarterly Consultation (CP26/17), the FCA published proposals to simplify climate disclosure requirements for investment products. The proposals form part of the FCA’s wider work to streamline sustainability reporting requirements for asset managers and FCA-regulated asset owners. The changes aim to give investors clearer insight into how climate risks – such as floods, storms and other extreme weather events – could affect investment performance, while reducing unnecessary costs to firms. Under the proposals:
- Retail investors would receive relevant information on how material climate risks could affect a product’s financial performance
- Institutional clients would be able to request key emissions data from firms, but this would no longer need to be published in full reports.
The proposals complement the FCA’s Sustainability Disclosure Requirements for asset managers, which aim to help retail investors navigate the market for sustainable investment products and reduce greenwashing. TCFD product reporting was introduced in 2021 as part of the UK’s approach to climate disclosures.
The consultation is open until 13 July 2026. The FCA aims to finalise and implement the rule change in the autumn. PIMFA Sustainable Finance Working Group will meet to discuss the proposals.
If you are not a member of the Working Group and would like to provide your views and help shape PIMFA response, please email Maja Erceg.
Maja Erceg
Senior Policy Adviser
July 2026
- PIMFA responds to the FCA Quarterly Consultation CP26/17 Chapter 2 - Simplifying climate disclosure requirements for investment products
PIMFA responded to the FCA Quarterly Consultation CP26/17 Chapter 2 – Simplifying climate disclosure requirements for investment products. While broadly supportive of the proposal to replace public TCFD product reports with a more flexible disclosure framework we also noted that a materiality-based approach may lead to divergent practices across the market which could reduce comparability between products and create an uneven playing field. We consider that it would be helpful for the FCA to provide illustrative examples of effective sustainability-related disclosures, including what it considers to be meaningful and decision-useful information.
Examples of good practice would also give firms greater confidence in exercising judgement when determining what information is material and meaningful to disclose. We would also welcome greater clarity on how the FCA intends to supervise firms under the proposed framework. Clearer guidance on the evidence and records the FCA would expect firms to maintain would provide greater certainty and support consistent implementation.
Read the response here
May 2026
- Financing Climate Solutions: Exploring findings from the Transition Finance Pilot
The FCA published its findings from the Transition Finance Pilot examining barriers to scaling finance for climate solutions.
The Transition Finance Pilot was a market engagement exercise led by the FCA and supported by the Prudential Regulation Authority (PRA) and the Green Finance Institute (GFI). Over several months, the FCA engaged with more than 45 market participants across 2 main categories: capital providers and climate solutions companies and project developers. The FCA identified 3 main challenges:
- Some climate solutions struggle to reach a commercial maturity sufficient to attract private capital.
- Capital is not always well-matched to opportunity, despite strong appetite.
- Information and capacity gaps create frictions.
The FCA will continue to advance its broader sustainable finance work to strengthen market integrity, transparency and trust, including supporting the development of industry-led transition metrics through the Climate Financial Risk Forum. The regulator is also exploring how its regulatory framework can better support small and medium-sized enterprise (SME) access to finance.
- FCA invites ESG rating providers to join a voluntary reporting pilot
The FCA is inviting ESG rating providers to join a voluntary reporting pilot to inform future regulatory reporting once the regime is live.
The aim is to avoid unnecessary reporting burden for firms over time. The pilot aims to help the FCA assess whether the proposed metrics for ESG ratings reporting are clear, feasible, proportionate across different business models, and useful for supervisory purposes.
Participants will have a direct opportunity to inform the design of the future reporting framework and regulatory reporting requirements. Based on feedback, the FCA may revise the metrics for the eventual reporting regime. The pilot is open to all ESG rating providers who expect to be in scope of UK regulation.
Firms can register their interest by 13 May 2026 here.