PwC Global CSRD Survey: 63% of companies are confident they will be ready for the CSRD Directive

63%) of companies say they are very or extremely confident that they will be ready to report under the new EU Corporate Sustainability Reporting Directive (CSRD), according to PwC's first global CSRD 2024 survey.< /p>

The global survey, in which more than 500 senior executives participated and business professionals including leaders in economics, sustainability and risk, found that the EU directive, which will affect around 50,000 companies, has a global impact.

More than ¾ ( 79%) of companies based outside the EU and 74% based within the EU believe that CSRD leads or will lead the company's leadership to consider sustainability in decision-making to a greater extent. 75% of respondents from companies based in 38 countries and territories already plan to report at a consolidated group level, including activities outside the EU.

While the survey results show confidence around reporting sustainability, survey participants report barriers to implementation. The biggest concern cited is the availability and quality of data (59%).

Only 1/5 of companies due to report in FY2025 have validated the availability and completeness of data for their disclosures. Additionally, less than 60% of all respondents have integrated technology as they use it into their operations, although most respondents plan to, and most companies do not use specialized tools or technology. Spreadsheets are the most commonly used tool (74%), compared to 26% using central sustainability data storage (eg a data warehouse) and 20% using artificial intelligence, although more plan to use these tools in the future.

Implementation barriers beyond data still exist

Despite high levels of confidence, particularly for companies due to report in FY2025 (72%), less than half have completed key activities such as confirming reporting options (39%) , the dual assessment of materiality (38%) and the validation of data availability (20%). Par’ after all, companies that have completed early-stage activities are more likely to feel confident that they will meet the reporting requirements.

While respondents are highly confident about issues generally included in existing disclosures, such as the workforce (75%), business conduct (75%) and climate change (60%), they are much less confident about their ability to respond to reporting requirements on lesser-known issues such as biodiversity (35%), pollution (43%) and value chain workers (44%).

Sustainability is rising to leadership agenda

The survey finds that 76% believe that CSRD has led or will lead business leaders to consider sustainability in decision-making, including 59% who say that sustainability is already being considered more because of CSRD, and 17% stating that it will be considered.

Companies expect a wide range of business benefit to arise from CSRD. Specifically, more than half (51%) expect benefits to a large or very large extent to include better environmental performance, 49% expect improved engagement with stakeholders and 48% better risk mitigation. 

Almost 1/3 believe that CSRD greatly benefits revenue growth (28%) or cost savings (26%). Expectations of financial benefits are higher for companies closer to the reporting deadline, with 38% of companies due to report for the 2025 financial year expecting to benefit greatly from increased revenue and 34% from cost savings.