The European Supervisory Authorities report steady improvement in principal adverse impact (PAI) disclosures under the SFDR, especially among larger financial groups. However, disclosures often lack quantifiable actions, and “non-consideration” statements remain generic. The ESAs recommend clearer, shorter, and machine-readable disclosures, more proportional requirements, and less frequent reporting to enhance quality and relevance. Further regulatory guidance may follow to address persistent shortcomings.
Until recently, the EU lacked a specific framework governing green claims. A new Directive aiming at “empowering consumers for the green transition” supplements the existing rules on unfair commercial practices to include a new harmonized regime for green claims, applicable from September 2026. Businesses should carefully consider how this new regime will impact their upcoming commercial communications, including voluntary environmental reports and climate targets, to mitigate legal and reputational risks.
On 13 August 2025, Ukraine approved tenders for two oil and gas blocks—Mezhyhirska and Svichanska – under its Minerals Deal with the US Bidders must meet financial and work commitments, with production sharing terms favouring investors initially. Each PSA lasts 50 years and includes environmental and compliance obligations. This marks a key step in Ukraine’s post-war reconstruction and energy strategy.
The Financial Conduct Authority (FCA) has said following its recent multi-firm review of how its climate disclosure rules have been operating that it will look to “streamline and enhance” its sustainability reporting framework and has pledged to “simplify disclosure requirements”. This is welcome news for the industry and seems to be driven by feedback from the asset management sector that Task Force on Climate-related Financial Disclosures (TCFD) reporting rules are overly granular. There also seems to be a move towards consolidation across UK sustainability reporting frameworks as the FCA will consider the Sustainability Disclosure Requirements (SDR), International Sustainability Standards Board (ISSB) and transition planning going forward.
On September 1, 2025, Spain will officially launch the new independent whistleblower protection authority (AIPI), marking a major step in implementing Law 2/2023. This article outlines key compliance obligations for companies and the broader impact on corporate integrity.
2 August 2025 was an important deadline under the EU AI Act: obligations for providers of general-purpose AI (GPAI) models entered into force, provided the model is placed on the market on or after this date. The European Commission and EU AI Office have been gearing up for this deadline with recently released Guidelines for providers of general-purpose AI models (the Guidelines) and a final General-Purpose AI Code of Practice (the Code). The Code was subject to the Commission and the AI Board assessing its adequacy. The Commission confirmed the Code’s formal approval on 1 August. The Guidelines provide an interpretative framework for understanding the obligations of providers of general-purpose AI models, and the Code offers specific measures suggested by the Commission that providers can implement to demonstrate that they meet these obligations.
In March 2025, the Home Office issued a revised version of its statutory guidance “Transparency in Supply Chains” following the House of Lords Modern Slavery Act 2015 Committee’s report. This marks the first full revision of the guidance in nearly a decade. In an article for Compliance & Risk, Jon Tuck and David Yadid examine the current legal framework under the Act, unpack the key changes introduced by the new guidance, and consider their implications for businesses.
The Committee on Employment and Social Affairs of the European Parliament recently published a draft report on digitalisation, AI and algorithmic management in the workplace. It makes a number of recommendations including for a directive specifically regulating ‘algorithmic management’ in the workplace with protections extending to self-employed individuals in addition to workers. There are a number of steps in the EU legislative process before these proposals could become legally binding. Given their significance, including the broad definition of ‘algorithmic management’, impacted organisations should nevertheless monitor if and how they develop.
On 9 July 2025, the European Parliament (EP) adopted a resolution pressing for sweeping reforms in the e-commerce and imports sector, with a focus on consumer protection, product regulation, and unfair competition.1 The resolution sets out a series of measures, including calling for the swift implementation of the Digital Product Passport (DPP), strengthened customs enforcement through reform of the Union Customs Code (UCC), and the removal of the EUR 150 customs duty exemption for low-value consignments. The resolution will now be put submitted to the European Council and the European Commission for consideration.
The Financial Conduct Authority (FCA) has published a policy statement (PS25/9: New rules for the public offers and admissions to trading regime) under which it sets out the rules for the new regime that will apply in respect of prospectuses. This follows the consultation process the FCA undertook via the previous publication of consultation papers CP 25/2 and CP 24/12. The Public Offers and Admissions to Trading Regulations 2024 (POATRs) will replace the UK Prospectus Regulation (UKPR). The POATRs are generally in line with the proposals consulted on, with some modifications to reflect feedback from market participants. The new rules will come into effect on 19 January 2026.