Thought Leadership

Driven by new regulations, investor expectations, and customer demands, companies are being asked to report more transparently on their sustainability performance. For advisory firms, ESG is not just about responding to new rules - it’s about helping clients future-proof their business. ESG has become one of the fastest evolving and most profitable areas of professional advisory work. The organisations that treat it as a strategic tool, rather than a burden, are the ones building real long-term value.

This shift is not only reshaping corporate reporting but also creating fresh opportunities for professional advisors. Many firms are expanding their services to meet client needs in this growing area, and ESG has become one of the fastest evolving areas of professional advisory work.

From Compliance to Strategy

Traditionally, reporting on sustainability or environmental matters was treated as a compliance exercise, often limited to greenhouse gas emissions or health and safety metrics. Today, ESG reporting has broadened significantly. It now covers a wide range of issues, including diversity and inclusion, modern slavery, community engagement, ethical supply chains, and governance structures.

As a result, advisory roles have expanded from compliance officers and environmental specialists to multi-disciplinary ESG teams. These teams now include data analysts, legal experts, communications professionals, governance specialists, and sustainability consultants. Their work is not just about reporting but also about helping organisations adapt their strategy, strengthen resilience, and build stakeholder trust.

New Service Lines Emerging

The growth of ESG has also opened up new service lines within professional firms. Accountancy and legal practices are adding sustainability assurance services, while management consultancies are creating dedicated ESG divisions. Increasingly, firms are helping clients with:

• Materiality assessments

These assessments help organisations prioritise the environmental, social, and governance topics that matter most to their investors, employees, customers, and regulators, ensuring that reporting and strategy focus on areas of greatest impact and relevance.

• Data collection and digital solutions

Firms are supporting clients with systems that gather accurate ESG data - from carbon footprints and energy usage to workforce demographics and supplier performance - enabling more transparent reporting and informed decision-making.

• Net zero roadmaps and climate transition plans

Advisors are helping businesses set science-based targets, design pathways to reduce emissions, and model the financial implications of climate action, balancing regulatory compliance with long-term commercial strategy.

• Stakeholder communication strategies

Beyond compliance reports, organisations are being guided on how to communicate ESG progress clearly to investors, customers, and employees through integrated reports, websites, and investor briefings that build trust and credibility.

• Sustainability fractional manager

Many firms now offer on-demand sustainability consultants or project managers who can provide strategic guidance, oversee ESG programmes, and mentor internal teams, offering expertise tailored to the client’s scale and budget.

• Training and culture change programmes

Embedding ESG effectively requires more than policies - it needs people to understand and live it. Training workshops, leadership development, and staff engagement initiatives are helping organisations make sustainability part of their culture.

In many cases, these services cross traditional sector boundaries, bringing together professionals with backgrounds in finance, accountancy, law, engineering, and social sciences.

A Global Talent Demand

One of the most significant outcomes of ESG reporting is the demand for new skills. Firms are hiring sustainability specialists, carbon accountants, and even climate scientists to support their advisory work. The ability to interpret complex ESG data, align it with international reporting standards, and communicate it clearly to stakeholders is increasingly valuable.

According to industry research, the global ESG workforce is expected to expand rapidly over the next five years, creating opportunities for both established professionals and new graduates. Universities are responding by introducing specialist degrees and modules, while firms are investing heavily in training their existing staff.

As Gregor Urquhart, a Sustainability Project Director at Boxfish, observed, “ESG reporting is no longer just about ticking boxes. It is about helping businesses understand risks, build resilience, and create value in a rapidly changing world.”

The Road Ahead

The rise of ESG reporting demonstrates that business advisory services are evolving just as quickly as the challenges faced by their clients. What was once a compliance exercise has now become a strategic conversation about long-term value creation and risk management.

For firms willing to adapt, ESG reporting is not just a regulatory burden but an opportunity. It provides a platform to expand services, attract new talent, and deliver meaningful impact for clients who want to align financial success with sustainable growth.

As demand grows, it is clear that ESG reporting will remain a defining feature of advisory work in the years ahead - reshaping roles, creating new service lines, and strengthening the link between business performance and positive social and environmental outcomes.