meta_id 3006139

On March 26, 2026, the Finnish Government submitted a proposal to parliament to amend the Accounting Act and Auditing Act, significantly narrowing the scope of mandatory sustainability reporting obligations for Finnish companies. Under the proposed changes, sustainability reporting requirements would apply only to the largest companies, specifically those with annual turnover exceeding €450 million and employing more than 1,000 people. This threshold reduction would decrease the number of companies subject to reporting obligations from approximately 1,300 to around 130 in Finland. The proposal implements the second phase of the European Union's Omnibus Package, which aims to balance sustainability objectives with the administrative burden on businesses. The government's proposal follows an initial phase submitted in September 2025, which delayed the implementation of sustainability reporting requirements by two years. The proposed amendments would enter into force on June 30, 2026, though the provisions could be applied from January 1, 2026 onwards for fiscal years beginning on or after that date. Listed companies employing more than 500 people that published a sustainability report for a fiscal year beginning on or after January 1, 2024 would be permitted to cease preparing and publishing sustainability reports from fiscal years beginning on or after January 1, 2025, provided they no longer meet the new threshold criteria. Finland's Ministry of Employment and the Economy stated the proposal represents a continuation of efforts to reduce administrative burden on Finnish companies while maintaining proportionate sustainability reporting aligned with EU regulations. The proposal is now before the Finnish Parliament for consideration.