The Council of the EU formally adopted the European Commission’s “stop-the-clock” proposal, completing the legislative process to delay the application of the CSRD and CSDDD as part of the Omnibus I package.
On 14 April 2025, the Council of the EU formally adopted the European Commission’s “stop-the-clock” proposal, completing the legislative process to delay the application of the Corporate Sustainability Reporting Directive (CSRD) and the Corporate Sustainability Due Diligence Directive (CSDDD). This follows the European Parliament’s endorsement of the proposal on 3 April 2025.
The adopted directive forms part of the Omnibus I package adopted by the Commission in February 2025. It will now be published in the Official Journal of the EU and will take effect the day after publication. Member States are required to transpose the directive into national law by 31 December 2025.
Key Changes
The proposal will postpone:
- By two years the entry into application of the Corporate Sustainability Reporting Directive (CSRD) requirements for large companies that have not yet started reporting, as well as listed SMEs, and
- By one year the transposition deadline and the first phase of the application (covering the largest companies) of the Corporate Sustainability Due Diligence Directive (CSDDD).