Highlights
Many companies use SASB Standards1 to provide decision-useful information to investors. These industry-based standards are set to change.
The International Sustainability Standards Board (ISSB) has proposed significant amendments to them2 to support the high-quality implementation of IFRS S1 and IFRS S23, which require industry-based disclosures.
The proposals would affect how companies determine what to disclose and set the tone for the ISSB's approach to industry guidance. Therefore, companies operating both within and outside the nine industries specifically covered by these proposals need to consider how the proposals may affect them.
What changes are proposed?
The proposals would affect 50 of the 77 SASB Standards. These quick reference cards provide summaries of the key changes proposed.
Why does this matter?
Industry-based disclosures play an integral role in the sustainability reporting ecosystem. Standards that provide relevant industry-specific guidance help to make disclosures consistent and comparable between companies and provide investors with decision-useful information4.
The proposals seek to align the SASB Standards more closely with IFRS Sustainability Disclosure Standards and other frameworks, including the Global Reporting Initiative (GRI). This would increase the usefulness of the SASB Standards as industry-based guidance for all preparers. The proposals may be especially helpful, given that sector-specific reporting requirements are likely not to be included in updates to the European Sustainability Reporting Standards (ESRS)5.
What’s the impact?
The proposals would both introduce new disclosure topics and metrics, and change or delete existing ones across a broad range of industries. They would therefore affect how companies determine what to disclose, whether they:
- already comply with the SASB Standards;
- plan to comply; or
- use them as a source of guidance – e.g. when applying IFRS S1.
The ISSB is setting the tone for its approach to industry-based guidance with these proposals; therefore, even companies not operating within the nine industries covered by these initial comprehensive amendments need to consider whether they agree with the proposed approach and how it may affect them.
What’s next?
The ISSB is consulting on these proposed amendments. The comment period is open until 30 November 2025. The amendments are expected to come into effect 12 to 18 months after they are finalised, but early adoption would be permitted.
In addition, comprehensive amendments to the standards for the following industries are expected in Q4 2025: Electric Utilities & Power Generators, Agricultural Products and Meat, Poultry & Dairy.
Actions for management
- Read the proposals and understand how they may affect you irrespective of which standards and frameworks you are currently using or plan to use.
- Consider how the amended SASB Standards may help you to report industry-based, investor-relevant information. For example, evaluate potential impacts on your:
- materiality assessment;
- disclosure gap assessment; and
- systems, processes and controls.
- Take this opportunity to have your say by 30 November 2025. For further information on the proposals, speak to your KPMG contact and visit kpmg.com/ifrs to keep up to date with the latest news and discussion.
1 The SASB Standards were first published by SASB in 2018. They are governed by the ISSB following the SASB merger with the International Integrated Reporting Council (IIRC) into the Value Reporting Foundation (VRF) and subsequent consolidation into the IFRS Foundation in 2022.
2 As well as proposing updates to the SASB Standards, the ISSB proposed consistent amendments to its Industry-based Guidance on Implementing IFRS S2. It was created based on the SASB Standards.
3 IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2 Climate-related Disclosures.
4 IFRS S1 requires companies to refer to and consider the SASB Standards whereas IFRS S2 requires companies to refer to and consider Industry-based Guidance on Implementing IFRS S2.
5 ESRS already identify the ISSB’s Industry-based Guidance on Implementing IFRS S2 as a source of guidance for industry-specific information. The ISSB has proposed to update this guidance to maintain consistency with the SASB Standards.
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