EU Publishes Simplified ESRS and Voluntary Standard in Official Journal
The revised ESRS cut mandatory datapoints by over 60%, the new voluntary standard caps value-chain data demands, and non-EU parents face separate ESRS-40a rules projected for summer 2027.
On September 21, 2026, the revised European Sustainability Reporting Standards and a new Voluntary European Sustainability Reporting Standard were published in the Official Journal, completing the EU's simplification of the CSRD regime. Beyond the earlier increase in size thresholds that determine who reports, the revised ESRS removes more than 60% of mandatory datapoints and over 70% of total datapoints. The voluntary standard gives companies below mandatory scope a proportionate framework and implements the new "value chain cap," limiting what large CSRD reporters can demand from certain smaller value-chain companies.
Timing: the simplified ESRS enters into force November 10, 2026 and generally applies to financial years beginning on or after January 1, 2027, with wave-one companies able to apply a year early. The voluntary standard entered into force September 24, 2026. The Commission estimates cost savings above 30% per company, though realized savings will depend on existing reporting systems, governance and value-chain complexity.
Two follow-ups matter: mapping reporting obligations and data flows against the reduced datapoint set ahead of the 2027 cycle, and tracking EFRAG's ESRS-40a work for non-EU parents. Its consultation closes October 31, 2026, with approval of those standards projected by summer 2027.