What SECR is
Streamlined Energy and Carbon Reporting (SECR) is the UK regime that requires larger organisations to disclose their energy use and greenhouse-gas emissions in their annual reports.
Our SECR compliance specialists help companies navigate these requirements efficiently.
It was introduced by the Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018 (SI 2018/1155)1, and replaced the earlier CRC Energy Efficiency Scheme.
The aim is to make energy and carbon a standard, comparable part of corporate financial reporting3.
Who is in scope
SECR applies to all quoted companies, and to large unquoted companies and LLPs1.
A company or LLP counts as “large” if it meets at least two of the three thresholds in section 465 of the Companies Act 20062.
| Threshold | Large if |
|---|---|
| Turnover | More than £36m |
| Balance sheet total | More than £18m |
| Employees | 250 or more |
Quoted companies are in scope regardless of size.
Meeting any two of the three thresholds brings an unquoted company or LLP into scope2.
What must be disclosed
A SECR disclosure must report UK energy use, the associated emissions, at least one intensity ratio, the methodology applied, and a narrative of energy-efficiency actions taken in the year1.
Emissions are calculated using the UK Government’s DESNZ conversion factors, which are published annually4.
Quoted companies must also report their global emissions, not just UK figures3.
Where it sits
SECR disclosures are made in the Directors’ Report within the annual financial statements — or, for LLPs, in the Energy and Carbon Report1.
Because it forms part of the statutory accounts, the disclosure is signed off at board level and filed at Companies House with the rest of the annual report.
Deadlines
SECR is filed as part of the annual report, so it follows the normal Companies House filing deadlines.
| Entity type | Filing deadline after year-end |
|---|---|
| Private companies and LLPs | 9 months |
| Public companies (PLCs) | 6 months |
Because the disclosure depends on a full year of energy and emissions data, the practical work should start well before the year-end, not at filing.
How we help
As your SECR compliance specialist, Carbon Legal confirms whether you are in scope, then builds the energy and emissions figures and drafts the Directors’ Report disclosure to the format SI 2018/1155 requires1.
The underlying inventory is assembled by our emissions compliance consultants on the GHG Protocol, so the same data can also feed UK SRS S2 and the energy figures behind ESOS.
Carbon Legal is a specialist SECR compliance consultancy, not a law firm, and does not provide legal advice.
Our SECR compliance specialists focus exclusively on energy and carbon reporting requirements.
Frequently asked questions
Who has to comply with SECR?
SECR applies to all quoted companies, and to large unquoted companies and LLPs. A company or LLP is "large" if it meets at least two of three thresholds: turnover above £36m, balance sheet total above £18m, or 250 or more employees. Quoted companies are in scope regardless of size.
What must be disclosed under SECR?
A SECR disclosure must include UK energy use (electricity, gas and transport), the associated greenhouse-gas emissions, at least one intensity ratio, the methodology used, and a narrative of energy-efficiency actions taken in the reporting year. Quoted companies must also report global emissions.
Where does SECR reporting go?
SECR disclosures sit in the Directors’ Report within the annual financial statements (or the Energy and Carbon Report for LLPs), under the regime introduced by SI 2018/1155.
Is there a SECR exemption for low energy use?
Yes. An organisation that consumes 40,000 kWh or less of energy in the reporting period is a low energy user and may state that fact instead of making the full disclosure.
When is the SECR filing deadline?
SECR is filed as part of the annual report, so it follows normal Companies House deadlines: nine months after the financial year-end for private companies and LLPs, and six months for public companies.
Sources
Authority sources
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