HLB, a global network of advisory and accounting firms, has taken a significant step forward in its commitment to Environmental, Social, and Governance (ESG) principles with the launch of its inaugural ESG Forum. The event marked a new chapter in HLB’s journey towards integrating sustainability into its core business strategy. Anika Sidhika, reporter GlobalData comments
Marco Donzelli, HLB Global CEO, welcomed attendees to HLB’s first ESG Forum, highlighting its significance in advancing sustainability, responsibility, and ethical business practices.
He stated: “As a global network of advisory and accounting firms, we are in a unique position to influence positive change, guiding our clients and stakeholders toward responsible business practices that are both profitable and sustainable.”
The forum serves as a platform for industry experts, thought leaders, and changemakers to explore best practices, emerging challenges, and innovative solutions in ESG. Discussions focus on fostering ethical leadership, enhancing corporate accountability, and driving long-term resilience in an evolving global landscape.
“We believe that business has a responsibility beyond financial performance. By embedding ESG into our corporate DNA, we strengthen trust with our clients, attract and retain top talent, and build resilience against emerging global challenges.”
With active engagement and collaboration at the heart of the event, HLB hopes to inspire meaningful action within its network and beyond.
“Let this forum be the beginning of a new chapter in HLB’s ESG journey,” the executive concluded. “One where we lead by example and contribute to a more sustainable and inclusive world.”
Setting the scene- decrypting the ESG landscape
HLB ESG Forum 2025 kicked off with a call for action on sustainable business strategies. The forum aimed to understand the evolving sustainability landscape and emphasise the importance of integrating ESG principles into business strategy.
The first panel, titled “Setting the Scene – Decrypting the ESG Landscape,” brought together experts from Accenture, AICPA & CIMA, Vodafone, and the legal sector to discuss the shifting regulatory environment, stakeholder expectations, and the long-term value of sustainable business practices.
Moderated by HLB’s Director of Professional Standards & Sustainability Assurance, Bettina Cassegrain, the panel underscored the need for businesses to move beyond compliance and focus on lasting impact.
“Sustainability isn’t just about ticking boxes. It’s about creating value for stakeholders while securing a company’s long-term future,” explained Jeremy Osborn, AICPA & CIMA’s Global Head of Sustainability.
“The vast majority of the world is moving toward ESG adoption, but businesses must recognise that preparing for regulation is different from preparing for the future,” remarked Cyrus Suntook, Accenture’s Sustainability and Organisation Strategy Leader.
Panellists also explored the challenge of balancing shareholder and stakeholder interests, warning that a short-term focus on profits could prove costly in the long run.
“On our own, we might move fast. But together, we go further,” one speaker noted, reinforcing the importance of collaboration.
The HLB ESG Forum 2025 is promoting sustainability initiatives, urging companies to embrace transparency, address supply chain risks, and engage employees. This shift from short-term profit maximisation to long-term value creation is crucial.
Moreover, the UK government is addressing regulatory gaps in green initiatives, focusing on verification mechanisms to ensure companies fulfil their environmental claims and ensure the effectiveness and fair implementation of sustainability initiatives. Meanwhile Oxford University and ACCA are partnering to educate finance professionals on ESG sustainable financial strategies.
Sustainable business practices extend beyond environmental concerns—they are integral to long-term shareholder and stakeholder value creation. As Suntook closed, he specified: “If we don’t integrate sustainability into our business strategies, we risk falling behind. But if we do, it will work.”
The Evolution of ESG – Navigating Challenges and Opportunities
At HLB’s second panel discussion, “The Evolution of ESG: Challenges, Opportunities, and the Road Ahead,” industry leaders gathered to dissect the rapidly shifting sustainability landscape. Moderated by Paul Lewis, CEO of Seismic Change, the panel featured Dina Qurashi, Independent Non-Executive Director at MeDirect Malta, and Lindsey Stewart, Director of Stewardship Research and Policy at Morningstar.
The conversation highlighted growing tensions in the ESG sector, amidst regulatory pressures, investor expectations, geopolitical uncertainty, evolving disclosure standards, and a polarised sustainability debate.
With sustainability at a crossroads, panellists encouraged businesses to view ESG as an opportunity rather than just a compliance burden.
Qurashi noted, “Humanity is really good at being innovative when there are big headwinds.” Stewart added that while some companies are pulling back from ambitious environmental projects, the focus must remain on the tangible benefits of sustainability initiatives.
The panel also explored the impact of US policy changes on ESG efforts, with legal challenges, policy rollbacks, and a more cautious corporate approach shaping the current climate.
However, Lewis pointed out that outside the US, sustainability momentum remains strong: “Regulation may shift, but companies that integrate ESG into their business strategy rather than treating it as an add-on will be the ones that stay competitive.”
Investors continue to push for greater transparency, but the definition of “material” ESG issues varies across regions. Stewart explained that European regulators highlight broader disclosures, while the US focuses more narrowly on financial materiality.
He further added, “Companies are realising that ESG isn’t just about risk mitigation—it’s about long-term value creation and resilience.”
Rebranding ESG: The Business Case for Sustainability
The debate on whether ESG needs a rebrand has been provoking, with many companies resisting the label due to concerns about politicisation.
Qurashi suggested a shift in messaging: “If we stop talking about ESG as a separate thing and start framing it as better business—better sales, better marketing, better risk management—it becomes a lot easier to drive engagement.”
While ESG reporting is essential, panellists stressed that businesses must focus on real impact rather than just compliance.
“The best companies are not just ticking boxes; they are moving the needle on sustainability,” said Lewis. Qurashi later heightened that ESG must be embedded into corporate strategy, with boards and middle management playing a crucial role in execution.
The panel concluded with a call to action: companies that proactively engage with ESG, not just as a regulatory necessity, but as a driver of growth and innovation, will be the ones to thrive in an evolving business landscape.
ESG challenges and opportunities for midsized firms and their clients
At the recent HLB panel on “ESG Challenges and Opportunities for Mid-Sized Firms and Their Clients,” industry leaders put emphasis on the urgency of integrating ESG into business strategies rather than waiting for regulations.
“Being future proof is essential for companies and stakeholders,” the panellists agreed.
Lesley Hornung, HLB Global CMO, moderated the discussion, with insights from HLB Global Director of Professional Standards & Sustainability Assurance – Cassegrain, Richard Singleton (Finance & Sustainability Director, Menzies HLB UK), and Shannon Smith (HLB Global Tax Leader).
Many mid-sized businesses are hesitant to act, waiting for regulatory clarity. However, as Singleton pointed out, “Sustainability is key, and CPA firms can help clients with measurement and knowledge of regulations.” Companies that proactively embed ESG into their strategies can gain a competitive edge.
A common misconception is that ESG is solely about environmental factors. “Many businesses are already engaging in ESG-aligned activities without realising it,” noted Cassegrain.
The panellists stressed the need for clear communication, breaking down complex ESG jargon to help businesses manage risks and make informed decisions.
Moreover, tax compliance plays a crucial role in sustainability.
Smith warned, “Companies have an obligation to pay their fair share of tax. Those engaging in aggressive tax strategies risk reputational damage.” She also highlighted opportunities, such as tax incentives for sustainable supply chains and energy transitions.
Many mid-tier firms view ESG as an expense rather than a long-term investment.
“If firms aren’t discussing ESG with clients, they’re missing 90% of their business,” said Singleton. The panel urged businesses to integrate ESG into their purpose-driven strategies and leverage accounting firms as key advisers.
With ESG reporting requirements evolving, firms that position themselves as ESG leaders will attract clients seeking guidance.
“Playing your cards right could win competitors’ clients,” Cassegrain stated. The panel underlined the importance of cross-functional collaboration, combining tax, advisory, and assurance expertise, to deliver long-term ESG solutions.
As ESG regulations tighten worldwide, mid-sized firms that proactively adopt sustainable strategies will not only mitigate risk but also unlock new growth opportunities.
ESG in Action: HLB Firms Drive Collaborative Success
At the HLB Panel on ESG in Action, industry leaders shared insights into the evolving landscape of Environmental, Social, and Governance (ESG) initiatives.
Moderated by Rita Carolan, HLB Global Communications and PR Manager, the panel featured Julia Schneider (DDP Gruppe, HLB Germany), Mark Butler (HLB Ireland), and María Luisa Ramírez (Bové Montero, HLB Spain), who discussed how firms are helping clients navigate ESG complexities.
ESG considerations have been present for years but are now more deeply integrated into financial and operational strategies.
Businesses, especially SMEs, began prioritising ESG in 2023, driven by the Corporate Sustainability Reporting Directive (CSRD).
However, legislative uncertainties slowed progress in late 2024, shifting attention to voluntary initiatives like the SME and LSME standards.
“Regulation drives ESG thinking for clients, particularly CSRD reporting,” shared Butler. While ESG is recognised as a business strategy, many firms approach it primarily through a compliance lens.
Regional ESG Challenges and Success Stories
In Germany, the omnibus bill aimed to ease regulatory burdens, but businesses still struggled with knowledge gaps. Companies asked, “Can you demystify CSRD? Where do we start?” To address this, HLB firms developed consulting tools and webinars, leveraging their network expertise.
In Spain, companies faced similar challenges, especially regarding the transposition of CSRD into local law. María Luisa Ramírez emphasised auditor collaboration to verify non-financial information and help clients adapt.
In Ireland, CSRD enactment in July 2024 saw larger firms seeking guidance, but some SMEs hesitated until mandatory reporting in 2025. Butler highlighted an opportunity: “We need to put both our arms around this effort as accounting firms to drive forward.”
Future of ESG & Advisory Growth
With ESG reporting trickling down supply chains, even smaller firms must comply. Firms must shift from compliance-focused services to strategic advisory roles, helping businesses integrate ESG into their core strategies.
Despite uncertainty—particularly in Germany, where the newly elected government may scale back Supply Chain Act initiatives—ESG remains a growth opportunity for HLB firms.
“Success is about being a trusted adviser,” Butler concluded. HLB firms are positioning themselves at the forefront of ESG, leveraging expertise to guide clients through a rapidly evolving regulatory landscape.
To finish, in an exclusive interview with IAB, Cassegrain and Butler further address ESG challenges.
IAB: What are the biggest ESG challenges specific to tax and advisory services, and how can firms address them?
BC: ‘One of the key areas of concern but also of opportunity for both companies and their advisers is tax transparency and a focus on ethical tax practices. Scrutiny regarding aggressive tax planning, profit shifting, and tax avoidance has been growing for some time and ESG is definitely highlighting this area as a priority. In today’s society, the expectation that companies contribute fairly to society and pay an appropriate amount of tax wherever they operate exists across all stakeholder groups, including regulators, investors, customers and the wider public.’
‘Looking at advisory in general, the fast-evolving ESG landscape and uncertainty about regulation are key areas of concern. This is especially true during a period which is also marked by economic and political uncertainty. Companies may feel tempted to postpone their engagement with ESG until they have more clarity regarding the exact obligations they will be facing. Advisers have a role to play in explaining that regardless of legislation, there is a purely business-related argument in favour of embedding sustainability considerations into strategic planning. Companies with a long-term value creation mindset are more resilient than others and advisers have all the tools in their toolbox to demonstrate that.’
IAB: Assurance is becoming a crucial part of ESG compliance. What are the key elements companies should focus on to prepare for ESG audits?
BC: ‘Organisations need to understand that they will not be ready for a non-financial assurance engagement just because they have many years of experience in preparing financial statement audits. Establishing robust internal frameworks and attributing very clear responsibilities for ESG is one key step organisations need to concern themselves with at the very beginning. Another one is ensuring data accuracy and reliability because we are dealing with data from different sources, including the value chain, and measuring material areas in ways companies will not be accustomed to.’
‘In this respect, both advisers and auditors/assurance providers have a role to play when it comes to educating their clients and the wider stakeholder community.’
One of the biggest challenges in implementing ESG initiatives has been shifting the focus from compliance to something that genuinely adds value to businesses. Many organisations initially see ESG as a regulatory burden rather than an opportunity to build resilience, improve efficiency, and create long-term growth.
IAB: What have been the biggest challenges in implementing ESG initiatives, and how were they overcome?
MB: ‘The key has been making ESG real for businesses. It’s not just about reporting—it’s about tackling cyber risks, ensuring tax compliance, improving workplace culture, and strengthening supply chains. When ESG connects to the challenges business leaders are already dealing with, they’re far more engaged. That’s when it moves from being a ‘must do’ to a ‘want to do.’
‘You can’t just hand ESG down from the top and expect it to stick. When employees see how it affects their work—whether it’s through better data tracking, process improvements, or client engagement—that’s when it starts to make a real impact.’
Under the new proposal, only companies with more than 1,000 employees and either a net turnover exceeding €50m or a balance sheet above €25m would fall within the scope of the CSRD, excluding an estimated 80% of companies from the regulation’s sustainability reporting requirements.
While this will mean many organisations are no longer required to report under CSRD, Butler sees this as an opportunity: ‘Just because fewer businesses fall under mandatory ESG reporting doesn’t mean ESG doesn’t apply. Mid-sized businesses and not-for-profits still need to navigate sustainability reporting, and the demand for strategic ESG advice is only growing. The firms that stay ahead now will lead the conversation in future years.’
HLB Ireland has taken a proactive approach, helping clients see ESG as a core part of their long-term strategy rather than just a compliance exercise.
