EU firms disclosing more detail on use of artificial intelligence

Second Decoding AI Disclosure report show a rise in number of firms citing AI policies and board-level oversight

The improvements coincides with the implementation of the EU AI Act, which the report said has reshaped expectations regarding transparency, accountability and the responsible use of AI.

Europe’s largest companies are increasing their disclosure of AI-related practices and governance by providing “significantly more” information on their policies which “improves transparency and confirms accountability”, a new report has found.

The latest Decoding AI Disclosure report, produced by FTI Consulting, Trinity College Dublin, and Mason Hayes & Curran Research, is an analysis of the AI-related statements in the annual and sustainability reports of Europe’s 50 largest companies in the STOXX Europe 50 Index.

This is the second Decoding AI Disclosure report, with this research showing progress with companies now providing significantly more detail on their AI governance frameworks.

This coincides with the implementation of the EU AI Act, which the report said has reshaped expectations regarding transparency, accountability and the responsible use of AI.

“From the 2025 review, it is clear companies are providing significantly more information on their governance frameworks, including policies, board oversight, training, risk management, and key performance indicators (KPIs)," the report said.
 

As a result, the previous gap between high-level AI strategy disclosure and detailed governance reporting is beginning to narrow. 

The report said the most significant progress was seen in the reporting of KPIs which it said reflects stronger measurement practices and a clear shift from broad commitments toward a more strategic and evidence-based approach to managing AI-related risks and opportunities.

Reporting on KPIs increased by 162%, from 13 companies in 2024 to 34 in 2025.

Director of the Trinity Corporate Governance Lab Daniel Malan said accurate disclosure on AI “improves transparency and confirms accountability, two fundamental principles of corporate governance”.

“We are particularly pleased with the improved disclosure in the area of KPIs, which suggests a level of disclosure maturity. However, much work remains to be done in terms of standardisation of reporting frameworks to ensure comparability.” 

The number of companies citing an AI policy increased from 19 to 28 while the number disclosing proof of board-level AI oversight increased from 23 to 34.

Arnaud Cave, FTI Consulting's director in the strategic communications segment, said “it is encouraging to see that more than two thirds of companies now have established board-level oversight of AI”.