EU Parliament Votes to Cut ESG Regulations Amid US Pressure

The European Parliament has voted to dramatically wind back the bloc’s ESG rules following intense pressure from US business associations and state attorneys general.

The development means that more than 90% of companies originally in scope of environmental, social and governance reporting requirements will no longer need to comply. Other planks of the rulebook that emerged as a sticking point for the US have been dropped entirely. After Thursday’s vote, the legislation now heads for approval by the European Union’s member states.