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EU adopts Quick Fix to extend ESRS phase-in reliefs in 2025–2026
Wave 1 undertakings gain flexibility on sustainability disclosures.
On 11 July 2025, the European Commission adopted a “Quick Fix” Delegated Regulation extending European Sustainability Reporting Standards (ESRS) phase-in reliefs for Wave 1 undertakings.
Disclosures on anticipated financial effects and specific disclosures on Own Workforce (S1) are phased in for an additional two financial years. All Wave 1 undertakings may now also defer all disclosures on Biodiversity and ecosystems (E4), Workers in the value chain (S2), Affected communities (S3), and Consumers and end-users (S4) for financial years 2025 and 2026. However, some reliefs — like those for Scope 3 emissions and all disclosures on Own workforce (S1) — remain limited to firms with fewer than 750 employees.
The regulation aims to reduce complexity while the ESRS framework is being revised and the first Omnibus package is finalised. Undertakings should weigh the benefits of deferral against the continuity and coherence of their reporting, taking into consideration information needs from specific users as well as how the revised set of ESRS may impact these disclosures.