Most European companies plan to continue sustainability reporting even after being removed from mandatory requirements under the EU’s Omnibus simplification package, according to a new study by osapiens.
The study, “Beyond Compliance: Sustainability Reporting After the Omnibus,” found that 90% of companies excluded from the Corporate Sustainability Reporting Directive (CSRD) still intend to maintain or expand their sustainability reporting. The findings suggest reporting has evolved from a regulatory obligation into a core business function used to manage risk and guide strategic decisions.
The research also showed that 86% of descoped companies remain confident they can produce reports aligned with CSRD-level standards, while 88.9% of companies expect to increase investment in sustainability reporting tools and automation over the next 12 months. In addition, 90% of firms said sustainability reporting is already integrated with financial reporting processes, either partially or fully.
Sustainability data is increasingly influencing major business decisions, including operational and resource planning (52.8%), innovation and process design (47.7%), financial planning and investment decisions (38.1%), and supply chain risk assessment (38.1%).
Respondents identified improved visibility into climate, supply chain and operational risks as the leading benefit of reporting (49.2%). Other benefits included stronger investor confidence through auditable information (43.8%), meeting customer and partner reporting requirements (43.8%), and better integration of financial and sustainability decision-making (43.3%).
However, the study also highlighted a potential “sustainability paradox.” While 90% of descoped companies intend to continue reporting, 84.5% expect reduced regulatory scrutiny could eventually lead to fewer internal resources being allocated to sustainability reporting.
Key barriers cited include budget constraints (43%), fragmented data systems (40.7%), poor technology integration (31%), and unclear ownership of sustainability data (29.07%).
“This creates what the study describes as a ‘sustainability paradox’: high strategic recognition of reporting value combined with declining resource support,” the report noted, adding that automation and centralised data systems will become essential as companies navigate multiple voluntary reporting frameworks such as VSME, CCF, GRI and ISSB.
Andreas Rasche, Professor at Copenhagen Business School, said: “The results indicate a clear preference for reporting continuity among larger firms that were exempted under the Omnibus I package. This development brings voluntary reporting and beyond-compliance strategies firmly to the forefront of the future sustainability agenda.”
Alberto Zamora, Co-Founder and Co-CEO of osapiens, added: “For the past years, the regulatory trajectory was largely one-directional: more requirements, more companies in scope. The Omnibus package has changed this direction. However, our data shows that when the obligation is removed, companies don’t step back. They have realized that reporting is no longer merely a compliance exercise, but a part of how they understand risk, allocate capital and grow sustainable.”
The study is based on a survey conducted between December 2025 and January 2026 among 403 senior decision-makers from companies with more than 1,000 employees across the UK, DACH region, Benelux and France. About 24% of surveyed companies are expected to fall outside CSRD reporting scope following the Omnibus changes, while 76% remain within scope.
