SECR: Streamlined Energy and Carbon Reporting Guide for UK Companies

SECR guidance helps UK organisations comply with Streamlined Energy and Carbon Reporting (SECR)—the UK’s mandatory regime for energy reporting UK and carbon reporting UK companies must include in annual reports. Introduced in April 2019, SECR requirements apply to quoted companies and qualifying large unquoted companies and LLPs. This guide explains who is in scope, what to disclose, and how to prepare a disclosure index. Completing the index is not filing.

Regulatory status note (13 October 2026): SECR remains in force under the Companies Act 2006 and LLP regulations. SECR size thresholds are assessed separately from April 2025 Companies Act size limit changes. Quoted companies report global energy use and associated greenhouse gas emissions. Large unquoted companies and LLPs report UK energy they purchase.

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Status Summary (June 2026)

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Direct Answer

SECR (Streamlined Energy and Carbon Reporting) requires qualifying UK companies and LLPs to disclose energy use, associated greenhouse gas emissions, at least one emissions intensity ratio, energy efficiency actions and methodology in their annual report. Quoted companies disclose global energy use and associated GHG. Large unquoted companies and LLPs disclose UK energy they are responsible for purchasing—electricity, gas and transport fuel, including reimbursed business-mileage fuel—and the associated emissions on that boundary. SECR is mandatory streamlined energy carbon reporting for in-scope entities—not a voluntary filing created by filling a checklist.

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Key Takeaways

• SECR is a UK mandatory energy and carbon reporting requirement for quoted and large unquoted companies and large LLPs.
• Disclosures appear in the Directors’ Report (or LLP Energy and Carbon Report) alongside annual accounts.
• Quoted companies report global energy use and associated GHG. Unquoted companies and LLPs report UK purchased energy and associated emissions, including purchased or reimbursed business fuel where it applies.
• The required intensity ratio is an emissions intensity with a named denominator and method—not a kWh-per-FTE operational KPI.
• Unquoted exemption uses not more than £36 million turnover, £18 million balance sheet and 250 employees, with first-year, subsequent-year and parent/group rules. One inclusive two-of-three shorthand does not settle every case. SECR limits stay separate from the accounts-size uplift.
• SECR data feeds broader ESG and climate disclosure (TCFD metrics, UK SRS S2).
• Government encourages voluntary adoption by smaller companies.

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What Is SECR?

Streamlined energy and carbon reporting was introduced through the Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018, effective from 1 April 2019. It extended earlier mandatory GHG reporting for quoted companies to include energy use and expanded scope to large unquoted companies.

SECR aims to:

• Increase transparency of corporate energy use and carbon emissions
• Drive energy efficiency through public disclosure
• Provide consistent data for investors and policymakers

Official guidance: UK Government Environmental reporting guidelines including SECR (March 2019).

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Who Must Comply with SECR?

In scope

Large company definition (SECR)

For unquoted companies, Schedule 7 Part 7A paragraphs 20B–20C define exemption conditions using not more than, not an inclusive “or more” test. A company that is not a parent is exempt in its first financial year if it satisfies two or more of: turnover not more than £36 million; balance sheet total not more than £18 million; number of employees not more than 250. Subsequent years also look at the preceding year and whether the company was already exempt. A parent is assessed on the group it heads, including net and gross aggregate figures. One current-year two-of-three shorthand does not settle every case.

Note: Companies Act accounts-size thresholds increased for accounting periods from 6 April 2025. SECR assessments stay on these Part 7A figures and are not replaced by that accounts-size uplift.

Out of scope (typically)

• Small and medium companies below large thresholds
• Entities not required to prepare a Directors’ Report
• Some subsidiaries where parent group reporting applies (see group reporting rules in guidance)

Low energy users

Quoted companies and large unquoted companies that consume 40 MWh or less in the reporting period may be exempt from detailed disclosure but must state why they are exempt.

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What Must Be Disclosed?

Required SECR disclosures

1. Energy use in kWh — quoted companies: global energy; unquoted companies and LLPs: UK electricity, UK gas and purchased transport fuel, including fuel used for business mileage where the organisation reimburses that fuel. Convert litres to kWh with conversion evidence if that is how the fuel is held.
2. Associated greenhouse gas emissions on the same boundary as the energy total. For unquoted reporters, purchased or reimbursed transport fuel has associated emissions that default Scope 1 and Scope 2 rows alone cannot account for. Taxi, train and flight fuel where the organisation does not purchase the fuel sits outside that unquoted energy total. Broader supply-chain Scope 3 is not a SECR mandate. Do not mark every third-party travel activity not applicable for a quoted reporter merely because it is outside the unquoted energy total.
3. Emissions intensity ratio — at least one ratio of emissions to a named activity denominator, with method and matching coverage. A kWh-per-FTE operational figure does not replace it.
4. Energy efficiency actions — principal measures taken in the financial year to improve efficiency
5. Methodology — approach to calculations (government conversion factors commonly used)
6. Prior-year figures except in the first year of reporting

Quoted companies: global boundary

Quoted companies report global energy use and associated GHG, not a complete UK-only index. They have reported global GHG emissions since October 2013 under earlier mandatory GHG reporting rules.

Where disclosures appear

• Companies: Directors’ Report (part of annual report filed at Companies House)
• LLPs: Energy and Carbon Report

Download the SECR disclosure index. Completing it is not filing.

Prepare data, do not file

This index sits on the SECR guide after the disclosure list. It does not decide whether the reader is in scope.

An overall record holds applicability_status and prep_status. applicability_status is in_scope, not_in_scope, unknown, not_assessed or voluntary. Twelve employees alone do not establish an unquoted entity’s exemption. State assessed facts or leave applicability unassessed. A voluntary index can be recorded as voluntary without implying headcount settled legal scope.

prep_status is incomplete, ready_for_directors_report or not_assessed. ready_for_directors_report means every applicable required item is present or estimated with a method, and every exception names its applicable basis and remains disclosed. Missing required information does not become ready because an exclusion note was typed. It is not Companies House filing, not audit, and not assurance.

Quoted default items use the global energy and GHG boundary. Unquoted default items use the UK purchased-energy boundary. Mandatory energy-related emissions for unquoted reporters are not every possible Scope 1 source in a voluntary inventory. A low energy user at 40 MWh or less in the reporting period is described in the Environmental Reporting Guidelines. Do not infer a current exemption from the 2019 PDF alone or replace SECR with updated accounts thresholds.

Keep the organisational inventory in the carbon data pack. Convert billed kWh with the 2026 generated row only for a supported 2026 activity year; the converter does not convert 2025 kWh with 2026 factors. Record purchased business-mileage fuel separately from passenger travel. Intensity ratios need a positive matching denominator.

Disclosure index

Save a copy of the blank file and type into the copy. The files are plain CSV with no formulas.

• Blank index, secr-prep-blank.csv
• Fictional example, secr-prep-example.csv

Columns: record_type (overall or item), reporting_period_start, reporting_period_end, company_type (quoted or unquoted_or_llp), applicability_status, prep_status, item_id, item_name, boundary, units, data_status, evidence_location, estimate_method, conversion_evidence, exclusion_reason, exception_basis, owner_role, intensity_denominator, intensity_method, coverage_match and note.

data_status is present, estimated, missing or not_applicable. Intensity rows with a blank or zero denominator stay missing, not a ratio of zero. Do not add a second carbon data pack.

Worked example: Northgate keeps SECR applicability unassessed

Northgate Services is fictional: a 12-person office firm, company_type unquoted_or_llp. Twelve employees do not settle legal scope. applicability_status is not_assessed. The example is labelled a voluntary energy index. prep_status is incomplete. Electricity is present. Purchased transport fuel is missing. Transport-associated emissions are missing. Emissions intensity is missing because no matching intensity denominator and method are held; a kWh-per-FTE operational figure is not used as the SECR intensity substitute. Completing the file is not filing.

Limits

This index is not a second requirements guide, not assurance, and not a carbon inventory covering all Scope 3 categories. Use this disclosure index or the existing carbon data pack; there is no third SECR template. Quoted/global and unquoted/UK stay distinct. An energy-only intensity is not the required emissions intensity ratio. Where the index holds both all energy-associated emissions and a transport-associated breakdown, the breakdown is a subset of the energy-associated total and is not added twice.

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SECR Reporting Workflow

Step 1: Confirm in-scope status

• Apply large company test at balance sheet date
• Confirm Directors’ Report obligation
• Check low-energy exemption (≤40 MWh)

Step 2: Define organisational boundary

• Consistent with financial consolidation approach unless guidance specifies otherwise
• Document inclusions/exclusions (subsidiaries, joint ventures)

Step 3: Collect energy data

Source	Energy type
Utility invoices	Electricity, gas
Fuel cards / fleet records	Diesel, petrol
Landlord data	Serviced offices (where available)
Estimates	Where direct metering unavailable—document assumptions

Step 4: Calculate emissions

• Apply UK Government GHG Conversion Factors for Company Reporting (updated annually by DESNZ)
• Report energy-associated emissions on the applicable boundary: quoted/global, or unquoted UK purchased energy including purchased or reimbursed business fuel
• Do not treat a Scope 1 plus Scope 2 subtotal as the complete unquoted energy-associated figure when purchased transport fuel applies
• State location-based Scope 2; market-based optional
• Convert billed kWh with the 2026 generated row only when the activity year is a supported 2026 year. Historical 2025 kWh is not converted with 2026 factors.

Step 5: Calculate intensity ratio

• Choose metric relevant to business (turnover, output units, floor area)
• Maintain consistency year-on-year or explain changes

Step 6: Document efficiency actions

• Building upgrades, LED lighting, fleet changes, behavioural programmes
• Be specific—avoid generic statements

Step 7: Review and include in annual report

• Finance and company secretarial review
• Align narrative with ESG reporting if broader sustainability section published

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SECR Template Structure

This outline is for one unquoted company or LLP on the UK purchased-energy boundary. Do not use it as a quoted/global index.

UNQUOTED / LLP UK PURCHASED-ENERGY INDEX

Reporting period: [Financial year]
Company type: unquoted_or_llp
Organisational boundary: UK purchased energy

1. ENERGY CONSUMPTION (UK kWh)
   - Electricity purchased:
   - Gas purchased:
   - Purchased or reimbursed transport fuel:
   - Total UK purchased energy:

2. ENERGY-ASSOCIATED EMISSIONS (same boundary, tCO₂e)
   - Electricity:
   - Gas:
   - Purchased or reimbursed transport fuel:
   - Total energy-associated emissions:
   The transport-fuel line is a subset of that total. Do not add it again.

3. EMISSIONS INTENSITY
   - Denominator and method:
   - Ratio:
   A kWh-per-FTE operational figure is not this disclosure.

4. ENERGY EFFICIENCY ACTIONS
   - [Action 1]
   - [Action 2]

5. METHODOLOGY
   - Conversion factors: [Year/source]
   - Estimation approaches: [If any]

Quoted companies need a global energy and GHG index instead. Broader supply-chain Scope 3 is not a SECR mandate.

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Group Reporting and Subsidiary Exemptions

SECR includes provisions for group reporting where a parent prepares consolidated group disclosures. Subsidiary companies may be exempt from separate SECR disclosure when covered by parent group reporting—subject to specific conditions in the regulations and guidance.

Actions for groups

1. Confirm which entities require individual Directors’ Reports
2. Determine whether parent-level group SECR disclosure covers subsidiaries
3. Document exemption basis in subsidiary accounts where applicable
4. Ensure consolidated energy and emissions data captures all UK group entities

Consult your auditor on group structures and exemption eligibility.

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SECR Reporting Timeline

Milestone	Timing
Financial year end	Balance sheet date for size test
Data collection	Throughout year; finalise at year-end
Emission factor update	Apply DESNZ factors for reporting year
Directors’ Report drafting	With annual report preparation
Board approval	Before accounts finalisation
Filing at Companies House	With annual accounts deadline

Build SECR data collection into monthly or quarterly finance processes—not a last-minute year-end exercise.

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SECR and Other Frameworks

Framework	Relationship
TCFD	SECR emissions data supports TCFD metrics pillar for premium listed companies
UK SRS S2	SECR provides baseline emissions; S2 requires broader climate governance and Scope 3
CDP	CDP climate questionnaire requests similar energy and emissions data
ESG reporting	SECR is often the first mandatory environmental disclosure for large UK companies

See TCFD reporting guide and UK Sustainability Reporting Standards.

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Examples: Compliant vs Risky Approaches

Compliant

• All UK energy sources captured with invoice-level data
• Government conversion factors cited with reporting year
• Intensity ratio consistent with prior year
• Specific efficiency projects named with expected savings
• Low-energy exemption applied only when ≤40 MWh evidenced

Risky

• Emissions stated without kWh energy breakdown
• Missing intensity ratio
• Generic “we recycle and switch off lights” efficiency narrative
• Scope 2 omitted for purchased electricity
• Boundary changes without restatement note

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Common Mistakes

Mistake	Consequence
Missing transport fuel	Under-reported Scope 1
Wrong conversion factor year	Inaccurate emissions
No intensity ratio	Non-compliant report
Ignoring group structures	Wrong entities in scope
Confusing SECR with full carbon footprint	Scope 3 omitted when stakeholders expect it (voluntary)

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Frequently Asked Questions

What is SECR?

SECR is Streamlined Energy and Carbon Reporting—UK mandatory disclosure of energy use, greenhouse gas emissions, intensity ratios, and efficiency actions in annual reports.

Who must report under SECR?

UK quoted companies, large unquoted UK companies, and large UK LLPs that meet the statutory size and group tests in Schedule 7 Part 7A (exemption conditions use not more than thresholds, with first-year, subsequent-year and parent/group rules). The Who Must Comply with SECR? section above sets out the full applicability test—not a single two-of-three shorthand.

Is SECR the same as carbon footprint reporting?

Quoted companies disclose global energy and associated GHG. Unquoted companies and LLPs disclose UK purchased energy and associated emissions, including purchased or reimbursed business fuel where it applies. Broader supply-chain Scope 3 is not a SECR mandate. A full organisational footprint still belongs in the carbon data pack.

When did SECR start?

1 April 2019 for reporting in financial years beginning on or after that date.

What is the SECR low energy exemption?

Companies using 40 MWh or less in the period may provide reduced disclosure but must state they are a low energy user.

Does SECR apply to academy trusts and public sector?

Separate SECR guidance exists for academy trusts. Public sector bodies have different reporting requirements.

Can we use an SECR template from software providers?

Yes—provided underlying data and methodology meet government guidance and your auditors’ expectations.

How does SECR relate to UK SRS?

SECR provides foundational emissions data. UK SRS S2 requires broader climate disclosures including governance, strategy, and potentially Scope 3.

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Conclusion

SECR guidance supports compliance with one of the UK’s longest-standing mandatory climate-related reporting requirements. For qualifying large companies and quoted issuers, streamlined energy carbon reporting is an annual obligation—not a voluntary initiative.

Use SECR as the data foundation for broader ESG reporting, TCFD metrics, and future UK SRS alignment.

Next steps:

1. Scope 1, 2 and 3 emissions — understand emissions categories beyond SECR
2. ESG reporting — mandatory vs voluntary landscape
3. Sustainability reporting guide — framework comparison

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Sources and Update Log

Date	Update
13 October 2026	Disclosure index added; quoted/global and unquoted/UK boundaries distinguished; unquoted purchased transport fuel named
24 June 2026	Article published; SECR thresholds unchanged despite CA 2006 reforms

Authoritative sources:

• UK Government — Environmental reporting guidelines including SECR
• UK Government — GHG conversion factors for company reporting
• Legislation — Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018

This article is for general information only. Confirm SECR obligations with your auditor or company secretary.