Publication / 06 Apr 2011

Environmental Disclosures (full report)

The Environment Agency commissioned Trucost to analyse the environmental reporting and disclosure of FTSE All-Share companies.

The Environment Agency commissioned this study as part of their ongoing work to encourage the use of existing government guidance on corporate environmental reporting. The aim of the report was to explore the progress made by FTSE All-Share companies on environmental disclosures since the Environment Agency review of reporting in 2006, and to compare findings against a 2004 baseline.

The previous studies found that environmental information provided by most companies was not comprehensive and lacked the quantitative data to demonstrate performance. However, reporting has improved since legal requirements to report significant environmental impacts came into force under the EU Accounts Modernisation Directive.

Among the key findings are that most companies are now referring to an environmental topic in their 2009-2010 annual reports with 67% reporting quantitatively on their environmental impacts. Just over a third of the environmental disclosures were made in the audited sections of companies’ annual report and accounts and 90% of companies included a Business Review. Climate change and energy use are the topics with the most quantitative disclosures.

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