• Although 93% of companies mention nature in reporting, only 26% disclose their impact on natural world in line with globally recognized Taskforce on Nature Related Financial Disclosure (TNFD) framework
• Just 13% publish dedicated reports on nature
• Companies are reporting strongly on nature-related governance but less effectively in relation to progress on nature strategy
Progress in tackling the world’s escalating nature crisis is being undermined by businesses’ failure to disclose their impact on global ecosystems, according to the new EY 2025 Nature Action Barometer (pdf).
The report analyses the published reports of 435 companies with a combined market capitalization of more than US$50 trillion, across the globe and in a range of sectors, including consumer goods, energy, hospitality, and technology. It provides a snapshot of their public disclosures on nature impacts and dependencies, measured against the globally recognized recommendations of the Taskforce on Nature Related Financial Disclosures (TNFD).
The findings reveal that most companies (93%) mention nature in their published reports, but not all these disclosures provide the detail needed to help external stakeholders with decision making in relation to matters such as risk, governance, and investment. Only around a quarter (26%) of the businesses in the survey include information that aligns with the TNFD framework signaling a potential gap in transparency about nature-related impacts, dependencies, risks, and opportunities.
In addition, just over one in ten businesses that took part in the survey (13%) produce a standalone report on their progress against the TNFD recommendations or include clear details of this progress in their existing reports.
Dr. Velislava Ivanova, EY Global Strategy and Markets Leader, Climate Change and Sustainability Services, says:
“Our planet is under threat on several fronts, and half of the ten most serious are nature related. We’re all witnessing the sharp spike in extreme weather events, and the devastating scale of biodiversity loss. This year alone we’ve seen the hottest summer on record in Europe, destructive wildfires in the US and Canada, and accelerating deforestation in Brazil, Indonesia and elsewhere. With their reliance on natural resources, no businesses can afford to sit passively on the sidelines, hoping for the best.”
“Many companies are now showing better understanding of nature risks – and it’s clear from conversations with business leaders that many are taking action. But to manage the risks and opportunities, and help external stakeholders make informed decisions, they should produce credible data, collaborate effectively across the value chain, and have clear governance on nature.”
The EY 2025 Nature Action Barometer examines the level of businesses’ reporting against the 14 recommendations of the TNFD across four areas or ‘disclosure pillars’: governance; strategy; risk, and impact management; and metrics and targets. It scores companies on the number of recommendations for which they publish information (‘coverage’); as well as on the details provided and the extent to which it is in line with the TNFD recommendations (‘alignment’).
Businesses are providing the most detail in relation to governance – scoring an average of 87% for coverage and 31% for alignment. However, progress on building out strategies and targets is less clear. Companies scored 72% for coverage, 23% for alignment on the TNFD recommendations relating to strategy and 22% for alignment in terms of metrics.
Another finding in the report is that just 3% of businesses have published goals that are ‘nature positive’ – i.e., which aim to have a net positive impact on the natural environment.
The Barometer also provides a snapshot of companies’ nature disclosure at a regional level. Nine in ten (91%) of companies in the Americas say they report against the TNFD recommendations to some degree, compared to 94% in Europe, the Middle East, India, Africa (EMEIA) and Asia-Pacific (APAC).
Ivanova says: “The TNFD recommendations provide a solid framework against which businesses can report their impacts on nature – and it rightly places emphasis not only on the number of recommendations on which businesses report, but also on the detail they share.”
“Companies that regularly provide detailed disclosure, can successfully engage with stakeholders, and make much faster progress when it comes to building resilience, managing risks, and pursuing growth opportunities. Ultimately, it’s these companies that are at the vanguard of the fight to protect our planet.”
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About the research
The EY Global Nature Action Barometer analyzes nature-related disclosures of 435 companies across key regions: the Americas; Europe, the Middle East, India, and Africa (EMEIA); and Asia-Pacific. Companies analyzed represent ten sectors aligned to the Sustainable Industry Classification System® (SICS): consumer goods; extractives & minerals processing; financials; food & beverage; health care; infrastructure; resource transformation (heavy manufacturing companies e.g., automotive, chemical, oil and gas, paper and pulp, steel); services (primarily representing hospitality businesses); technology & communications; and transportation.
Companies were selected based on regional and sectoral diversity, as well as maturity in sustainability reporting. Most companies included scored a B- or higher for 2024 CDP disclosures, indicating that they are at minimum beginning to take action to address environmental issues if not demonstrating leading practices in management of the issue.
The analysis considers annual reports, sustainability disclosures including websites, and CDP reports. EY teams scored the companies using internally developed scoring criteria, aligned with the TNFD’s four disclosure pillars: governance; strategy; risk and impact management; and metrics and targets.
