A new study by sustainability software provider osapiens indicates that most European companies plan to continue sustainability reporting even after being removed from mandatory disclosure requirements under the EU’s Omnibus simplification package. The research suggests that sustainability reporting is increasingly viewed as a strategic business tool rather than purely a regulatory obligation.

The study, titled Beyond Compliance: Sustainability Reporting After the Omnibus, surveyed 403 senior decision-makers across Europe and found that 90 percent of companies no longer required to report under the Corporate Sustainability Reporting Directive (CSRD) still intend to maintain or expand their sustainability reporting practices.

 

Reporting Shifts from Compliance to Strategy

 

The Omnibus package recently reduced the number of companies required to comply with CSRD reporting obligations. However, the study shows that organizations continue to view sustainability disclosures as important for risk management, investor engagement and operational decision-making.

According to the findings, 86 percent of companies that were removed from the CSRD scope believe they can still produce reports aligned with CSRD-level standards. At the same time, nearly 89 percent of surveyed organizations expect to increase spending on sustainability reporting tools and automation over the next year.

The research also highlights how sustainability data is increasingly integrated into business operations. Around 90 percent of respondents reported that sustainability reporting is already linked with financial reporting processes either fully or partially.

Companies are using sustainability data in multiple decision-making areas, including operational planning, innovation and product development, financial investment decisions and supply chain risk management.

 

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Operational Benefits and Market Expectations

 

Organizations cited several benefits from sustainability reporting beyond regulatory compliance. Nearly half of respondents said improved visibility into climate, operational and supply chain risks is the primary advantage. Others highlighted stronger investor confidence through auditable data and better alignment between sustainability and financial decision-making.

These findings suggest that sustainability disclosures are becoming a market expectation, particularly for companies seeking access to capital or operating in complex supply chains where partners and customers increasingly require environmental and social transparency.

 

The “Sustainability Paradox”

 

Despite strong commitment to reporting, the study also identifies a potential long-term challenge. While 90 percent of companies plan to continue reporting in the near term, 84.5 percent believe that reduced regulatory scrutiny may eventually result in fewer internal resources being dedicated to sustainability reporting.

Organizations identified several operational barriers, including budget limitations, fragmented data systems, poor integration of reporting technologies and unclear internal responsibility for sustainability data management.

This dynamic is described in the report as a “sustainability paradox”: companies recognize the strategic value of reporting but anticipate declining internal support over time.

As a result, the study suggests that automation and centralized data platforms will become increasingly important for maintaining reporting quality while managing resource constraints.

 

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Survey Scope

 

The study was conducted between December 2025 and January 2026 and included responses from 403 senior executives working at companies with more than 1,000 employees. Participants represented organizations across the United Kingdom, the DACH region, Benelux and France.

Respondents included sustainability leaders, compliance executives, CFOs, CIOs and supply chain heads. Following the Omnibus simplification, approximately 24 percent of surveyed companies are expected to fall outside CSRD reporting requirements, while the remaining 76 percent remain within scope.

Overall, the findings suggest that sustainability reporting is evolving into a standard component of corporate governance and risk management, even as regulatory requirements shift.