Sustainability Assurance Maturity: A New Era for Climate Action in the US and around the world

As I reflect on the findings of the 2025 KPMG ESG Assurance Maturity Index, I’m struck by how rapidly the landscape is changing, and how much opportunity lies ahead for organizations willing to lead. This year’s Index, based on a global survey of over 1,300 senior executives and board members, captures a pivotal moment for sustainability assurance. The message is clear: sustainability assurance isn’t a destination, it’s a journey; one that demands courage, clarity, and commitment.

As leaders gathered in New York for Climate Week, the urgency of credible, transparent sustainability reporting is front and center. The world is watching as regulatory frameworks like the Corporate Sustainability Reporting Directive (CSRD) and the International Sustainability Standards Board (ISSB) standards gain traction. Here in the US, California’s new climate disclosure rules are setting a precedent, requiring thousands of companies to report on their greenhouse gas emissions and climate-related risks. These developments are not isolated; they’re part of a global wave of change that’s reshaping how organizations approach business risk and make informed decisions.

Our Index shows that companies embracing sustainability assurance are already seeing measurable returns. Among those reporting under CSRD, 60% expect greater market share or an expanded client base, 54% anticipate improved profitability, and 52% foresee stronger reputations. Nearly half expect greater shareholder value and reduced costs. The leaders in our Index aren’t just checking boxes. They’re embedding ESG into the core of their strategy, culture, and operations. Ninety-five percent of leaders’ boards are actively identifying ESG risks and opportunities, and 89% are taking ESG-related actions. Digital transformation is accelerating, with those classified as leaders rapidly adopting ESG platforms, dashboards, and even generative AI.

But progress isn’t uniform. Seventy-six percent of businesses remain in the early or mid-stages of ESG maturity, and the journey is getting harder as regulations evolve. The complexity of requirements, especially around data collection and supplier performance, means that organizations must invest in robust systems and skilled teams. The California climate rules echo this challenge, demanding not just compliance but real transparency and accountability.

What excites me most is the momentum. Despite the evolving regulatory landscape, 74% of companies say their sustainability reporting plans under CSRD remain unchanged, signaling strong market-driven commitment. In fact, 65% of firms now obtain limited or reasonable assurance over some sustainability disclosures, up from 50% last year. The shift toward integrated reporting, combining financial and sustainability assurance, makes practical and strategic sense, especially as stakeholders demand more from companies than ever before.

As we look ahead, the lessons from our Index are clear. Governance matters: boards must take an active role in sustainability oversight. Skills matter; organizations need teams with the right expertise. Data management and digital technologies are essential for credible assurance. And the value chain, from suppliers to customers, must be part of the equation.

Events such as NY Climate Week are reminders that sustainability assurance is no longer optional. It’s a business imperative. I invite you to explore the full results of the KPMG ESG Assurance Maturity Index and complete our online Index survey to see where your organization stands. The journey is challenging, but the rewards for your business, your stakeholders, and our planet are profound.