Ireland ESG Series - Part 3: Taxonomy Regulation

New regulations focus on sustainability in the financial services sector (Part 3 – Taxonomy Regulation)
Part 1 of this advisory series provides an overview of the key provisions of the Disclosures Regulation. Part 2 in this series considered the BMR Amendment. This part looks at the key provisions of the regulation on the establishment of a framework to facilitate sustainable investment and amending the Disclosures Regulation (the “Taxonomy Regulation”) with the majority of the provisions entering into force on 12 July 2020.

This regulation applies to (i) measures adopted by the European Union or its member states that set out requirements for financial market participants or issuers in respect of financial products or corporate bonds that are made available as environmentally sustainable; (ii) financial market participants (as defined in the Disclosures Regulation) that make available financial products (as defined in the Disclosures Regulation); and (iii) undertakings which are subject to the obligation to publish a non-financial statement or consolidated non-financial statement pursuant to the Accounting Directive.