Switzerland Pauses Climate Disclosure Revision Amid EU Uncertainty

As Switzerland works to align its sustainability reporting framework with international standards, the country has chosen to pause the revision of its climate disclosure requirements. This decision was taken in the context of evolving EU regulations.

On 25 June 2025, the Swiss Federal Council announced it would pause the planned revision of its ordinance on climate disclosures for companies. The decision follows broad support during consultation but reflects the need to wait for clarity on EU regulatory changes before proceeding.

Ordinance on Climate Disclosures

The Ordinance on Climate Disclosures entered into force on 1 January 2024, requiring public companies, banks and insurance companies with 500 or more employees and at least CHF 20 million in total assets or more than CHF 40 million in turnover to report publicly on climate issues, following the TCFD recommendations. The Federal Department of Finance was tasked with reviewing the international comparability of these rules within three years and with drawing up minimum requirements to ensure financial companies' climate goals align with the Climate Protection Act.

Planned Updates and Consultation Before the Pause

In December 2024, the Federal Council opened a consultation on aligning the ordinance with international developments, proposing the use of internationally recognised standards or EU sustainability reporting standards to meet disclosure obligations and establishing minimum requirements for net-zero roadmaps for financial companies. The consultation, which ended in March 2025, showed general support for the proposed revisions, while at the same time the EU launched its Omnibus process to review the CSRD and CSDDD. However, according to the Federal Council, "there were broad calls for the implementation of the ordinance to be paused until the Federal Council had approved the ongoing revision of the overarching legislation on sustainability reporting in the Code of Obligations." On 21 March 2025, the Council took note of these results and tasked the Federal Department of Justice and Police with preparing amendment options for sustainable corporate governance and sustainability reporting in the Code of Obligations, with decisions expected by early 2026 and alignment by January 2027.

Conclusion

Switzerland's decision to pause the revision of climate disclosure rules reflects its intention to wait for clarity on EU developments and domestic legal adjustments before proceeding, while maintaining its commitment to transparency and climate policy objectives.