UK Sustainability Reporting Standards Explained: How to Address Physical Climate Risk and ESG Compliance

The UK is entering a new era of sustainability reporting. The launch of the UK Sustainability Reporting Standards (UK SRS) consultation is a pivotal moment for businesses, especially those exposed to physical climate risks such as flooding, heat stress, and extreme weather events.

What Are UK Sustainability Reporting Standards?

The UK SRS proposes two key standards:

  • UK SRS 1 – General sustainability disclosures

  • UK SRS 2 – Climate-related disclosures

Both align with the International Sustainability Standards Board (ISSB) framework, ensuring UK businesses meet global expectations for ESG reporting and remain competitive internationally.

Why Physical Climate Risk Matters

Physical climate risk is no longer hypothetical. Investors, regulators, and insurers want clarity on:

  • How climate hazards impact asset values and operational resilience

  • What strategies businesses have to mitigate these risks

  • How transition plans align with UK net zero targets

Under UK SRS, companies must provide forward-looking disclosures, backed by scenario analysis, robust governance, and credible data.

Key Benefits of UK SRS Compliance

  • Standardised ESG reporting for comparability

  • Enhanced transparency to combat greenwashing

  • Mandatory governance and strategy disclosures

  • Alignment with global standards like ISSB and CSRD

  • Support for sustainable finance and investment in low-carbon solutions

How Businesses Can Prepare

To stay ahead:

  • Build robust data governance systems for accurate, auditable disclosures

  • Integrate sustainability into board-level decision-making

  • Develop credible transition plans aligned with UK net zero goals

  • Assess physical climate risks across assets and supply chains

How Kintera Supports You

At Kintera, we help businesses turn compliance into competitive advantage through:

  • Physical climate risk assessments

  • Scenario modelling for climate resilience

  • Portfolio-level risk analysis

  • On-site inspections for deeper insights

Our expertise ensures your disclosures meet UK SRS and ISSB requirements while strengthening your long-term strategy.

Why Act Now?

The UK SRS isn’t just about reporting. It’s about resilience. Businesses that act early will:

  • Build investor confidence

  • Reduce exposure to climate-related losses

  • Position themselves as leaders in a climate-conscious economy

Ready to future-proof your business?
Contact us to discuss how we can help you navigate UK SRS and manage physical climate risk effectively.

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Leveraging ISO 14091 for Climate Adaptation Planning in Real Estate

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Investing in Resilience: Why Physical Climate Risk Must Be a Financial Priority for UK Real Estate