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EU Parliament Rejects Mandate on CSRD and CSDDD Simplification, Sending File Back to November Plenary

A narrow defeat exposes deep splits over how far to ease sustainability reporting and due‑diligence rules.

Overview

  • MEPs voted 309 in favour, 318 against, with 34 abstentions to reject authorising negotiations on the Commission’s Omnibus simplification package.
  • Without a parliamentary position, trilogue talks with the Commission and Council cannot start and the file returns for a full vote and possible amendments in November.
  • The JURI compromise approved on October 13 proposed higher thresholds for company coverage, limiting in‑depth due diligence, reinstating a 5% turnover cap on fines, and easing transition‑plan obligations.
  • The Council adopted its stance in June, so further progress depends on Parliament assembling a majority at the next plenary.
  • Business planning remains uncertain, with some commentators saying the shelved approach could have removed a large share of companies from CSRD reporting scope.