Double Materiality Explained
Firms must report not just on how sustainability issues affect their business (financial materiality), but how their business affects people and the environment (impact materiality).
| Phase | Applies to | Reporting Year |
|---|---|---|
| 1 | Large public interest entities (>500 employees) | FY 2024 (reported 2025) |
| 2 | Large companies meeting 2 of 3 criteria (250+ emp, €50M turnover, €25M assets) | FY 2025 (reported 2026) |
| 3 | Listed SMEs | FY 2026 (reported 2027) |