ESAs delay delivery of the PAI and financial product disclosures in the SFDR by six months

On 14 November 2022, the European Supervisory Authorities (ESAs) published a letter sent to the European Commission stating that it will not be possible for them to meet the original deadline of 28 April 2023, as set out in the mandate, to review the indicators for principal adverse impact (PAI) and financial product disclosures in the SFDR. This will be delayed by up to six months.

The letter states that the ESAs have identified significant challenges to deliver the required input in the time requested. These challenges relate to the substantial number of technical components to the work under this mandate to deliver the desired changes to the SFDR and the need to seek input from a range of expert bodies or agencies as stated in the mandate.

In addition, the ESAs would have liked to dedicate a more intensive focus to this work in the first six months of receiving this mandate, but this was not possible due to the need to urgently deliver the RTS on fossil gas and nuclear energy amendments by 30 September 2022.

The letter, which is dated 26 October 2022, is available here.