TCFD (Task Force on Climate-related Financial Disclosures)

Global framework for climate-related financial disclosure.
Adopted by: UK, EU, Japan, Singapore, Brazil, Canada, and more.
Supporting Companies
4,000+
Global, all sectors (2025)
Countries/Formal Endorsements
10+
UK, EU, Japan, Singapore, Brazil, Canada, etc.
First Published
2017
Established by FSB, G20
Successor
ISSB S2
IFRS S2 builds on TCFD
TCFD Recommendations: Four Pillars
PillarDescriptionSample Disclosure
GovernanceBoard and management oversight of climate risks/opportunitiesDescribe board’s oversight of climate-related risks and opportunities
StrategyActual and potential impacts on business, strategy, and planningDescribe climate-related scenarios, resilience of strategy
Risk ManagementProcesses for identifying, assessing, and managing climate risksDescribe integration of climate risk into overall risk management
Metrics & TargetsMetrics and targets used to assess/manage climate risks and opportunitiesDisclose Scope 1-3 GHG emissions, climate targets
TCFD Global Adoption (2017–2025)
Number of companies supporting TCFD recommendations, 2017-2025.
Scenario Analysis in TCFD
Scenario TypeFocusExample
1.5°C/2°C (Paris-aligned)Transition risks, regulatory change, tech disruptionCarbon pricing, renewable energy, stranded assets
High-physical riskAcute/chronic climate impactsExtreme weather, supply chain disruption
Business-as-usualNo additional climate policyContinued fossil fuel reliance, higher warming
TCFD Influence & Legacy
  • Mandatory in: UK, EU, Japan, Singapore, Brazil, Canada
  • Basis for: IFRS S2 / ISSB, EU CSRD climate disclosure
  • Scenario analysis: Standardizes forward-looking climate risk assessment
  • Investor impact: Used by asset managers, insurers, credit rating agencies
  • Public sector: City and regional climate risk reporting

About the Task Force on Climate-related Financial Disclosures (TCFD)

The TCFD, established by the Financial Stability Board in 2015, created the first global framework for consistent, market-driven climate risk disclosure. Its recommendations (now adopted or endorsed by major economies and over 4,000 companies) structure disclosures around governance, strategy, risk management, and metrics/targets. TCFD’s scenario analysis requirement catalyzed a shift toward forward-looking risk management and laid the groundwork for ISSB S2 and global climate disclosure regulation. Its legacy endures in the convergence of sustainability standards and the mainstreaming of climate risk as a core financial issue.

Note: All data reflects official TCFD and regulatory updates as of May 2025.

TCFD (Task Force on Climate-related Financial Disclosures)