Overview
- The European Parliament adopted the Omnibus I amendments on December 16, 2025, and the measures still require approval by the Council of the EU before taking effect.
- CSRD reporting will apply only to EU companies with more than 1,000 employees and over €450 million in annual turnover for financial years starting on or after January 1, 2027, with non‑EU parent entities phased in from 2028 under revised EU‑turnover and subsidiary or branch thresholds.
- ESRS requirements will be pared back with fewer data points and no move to reasonable assurance, sector‑specific reporting becomes voluntary, value‑chain information requests are limited for smaller partners, and the Commission plans a digital portal with templates and guidance.
- CSDDD scope is narrowed to EU companies with more than 5,000 employees and global turnover above €1.5 billion, with comparable €1.5 billion EU‑turnover thresholds for non‑EU parent entities.
- Due diligence shifts to a risk‑based, sectoral approach with reliance on public information, climate transition plan obligations are removed, EU‑level civil liability is dropped, fines are capped at 3% of global turnover, and national transposition is due by July 26, 2028 with company compliance from July 2029.