LSEG Launches New ESG Scores and Sustainability Analytics Platform Covering 16,000 Companies

The London Stock Exchange Group has launched LSEG Sustainability Ratings and Data, a new suite of ESG scores and sustainability analytics covering more than 16,000 companies and over 1 million fixed income instruments. The new scores use a rules-based methodology incorporating 220 standardized indicators and a sustainability-first materiality matrix aligned with ISSB, GRI, SASB, and ESRS frameworks.

The LSEG platform rates companies on a scale of 0 to 5 across 12 themes: climate transition, energy and resource use, biodiversity, water use, waste and pollution, labor relations, health and safety, human rights and community, board and engagement, shareholder rights, conduct and anti-corruption, and tax transparency and accounting. The scores are derived from more than 2,000 underlying data points, with the methodology combining a redesigned industry classification with a double materiality approach at a business segment level. An extended product, ESG Scores Plus, also incorporates controversies, sovereign ESG risk, and positive signals such as green revenues and sustainable financing.

LSEG developed the new suite to meet growing demand for sustainability insights that financial institutions can embed in automated and AI-powered workflows for reporting, regulatory compliance, and capital allocation. The approach of using rules-based methodology without analyst judgement is designed to increase consistency and scalability across the large company universe covered. The platform's alignment with four major frameworks — ISSB, GRI, SASB, and ESRS — reflects attempts to serve clients across multiple jurisdictions with different regulatory requirements. As ESG ratings face increasing regulatory scrutiny in Europe under the new EU ESG Ratings Regulation, methodology transparency and governance are becoming critical.

LSEG's 25-year history in sustainable finance data positions it to compete with established ESG ratings providers including MSCI, Sustainalytics, and S&P Global in a market that is consolidating and professionalizing under new regulatory requirements. For Indian companies seeking to understand their ESG ratings profiles — particularly those covered by SEBI's BRSR framework and seeking access to foreign institutional investment — LSEG's expanded coverage and framework alignment is significant. For Indian asset managers and banks using ESG data in investment and lending decisions, LSEG's AI-ready, rules-based platform offers an interoperable data layer for integrating sustainability considerations into quantitative workflows.

Key figure — 16,000 companies covered