The natural world is not just a backdrop to economic activity; it is the foundation. Forests, clean air, water systems and biodiversity underpin the stability and prosperity of societies and businesses alike.

Recognizing this, the new international standard BS ISO 14054:2025 Natural capital accounting for organizations - Principles, requirements and guidance offers a ground-breaking framework to account for nature’s role in business operations. 

Developed from the UK-led BS 8632 and involving stakeholders across 63 countries, BS ISO 14054:2025 helps organizations systematize and disclose their impacts and dependencies on nature, making the invisible visible.

A comprehensive framework for natural capital accounting

At its core, BS ISO 14054:2025 guides organizations in preparing natural capital accounts by integrating financial, environmental, and socio-economic information into a structured, decision-support framework. The standard promotes transparency and repeatability by requiring clear documentation of scope, data sources, quality, assumptions and methodologies used, helping to ensure consistent and credible results.

Rather than prescribing fixed outputs, the standard enables the preparation of various natural capital accounts tailored to the organization’s needs, which may include formats similar to:

• Natural Capital Income Statement (NCIS): shows the impacts and dependencies of the activities of the organization and its value chain over the past financial reporting period.

• Natural Capital Balance Sheet (NCBS): shows future impacts and dependencies of the organization and its value chain on natural capital.

These tools allow organizations to understand, monitor, and communicate how their activities affect and depend on nature, supporting improved strategic planning, risk management, and investment decisions.

While frameworks like ISSB (International Sustainability Standards Board), TNFD (Taskforce on Nature-related Financial Disclosures) and CSRD (Corporate Sustainability Reporting Directive) set the direction of travel, they often stop short of providing the methodological details that organizations need.

BS ISO 14054:2025 addresses this gap. It delivers:

• Structured, auditable processes for natural capital accounting.

• Clear definitions for scoping and boundaries.

• Integrated outputs that connect financial, social and environmental data.

It aligns with the UN System of Environmental-Economic Accounting – Ecosystem Accounting (UN SEEA-EA) and supports long-term organizational alignment with global sustainability targets.

BS ISO 14054:2025 aligns with BSI’s wider Nature Investment Standards Programme, which supports the integration of nature into economic and financial decision-making. Discover more here.

Translating nature’s value across industries and sectors

BS ISO 14054:2025 is designed to be sector-neutral and scalable. It applies to organizations of all types - public, private, non-profit - and all sizes, from SMEs to multinational corporations. Whether operating in manufacturing, finance, agriculture, retail, or services, organizations can adopt the standard to better understand their ecological footprint and business continuity risks.

Groups of organizations that share dependencies on natural resources, such as those operating within the same landscape or watershed, can also use the standard to produce joint accounts, enhancing collaboration and collective action.

Explore how standards are shaping sustainable change across sectors by visiting our Net Zero Topic Page.

Designed for impact: How BS ISO 14054 serves all stakeholders

The strength of BS ISO 14054:2025 lies in the benefits it can bring across all professional domains:

• For Business Leaders and Boards: The standard empowers CEOs, CFOs and executives to integrate nature into strategic planning. It offers insights into long-term risk exposure and value creation opportunities linked to natural assets.

• For Government and Policymakers: Natural capital accounts can inform public procurement, guide the allocation of public funds and support policies for sustainable economic growth.

• For SMEs: By tracking natural resource use, smaller enterprises can identify inefficiencies, reduce costs, enhance brand value and access new markets — all with a view to long-term resilience.

• For Investors and Financial Institutions: Fund managers and banks gain a standardized means to compare organizations’ nature-related risks and impacts, aligning investment strategies with environmental goals.

• For NGOs and Civil Society: The framework provides common ground for collaboration with businesses and governments on conservation, restoration and sustainable development.

• For Risk, Finance and Sustainability Teams: The standard offers tools to identify and quantify material risks and opportunities associated with natural capital, enabling more comprehensive decision-making and stakeholder communication.

• For Assurance Providers: By establishing verifiable processes and outputs, the standard opens the door for audits and second-party assurance, bolstering the credibility of environmental claims.

Supporting standards and publications

To support its adoption, BS ISO 14054:2025 is designed to integrate with a suite of related standards, including:

• BS EN ISO 14001 Environmental management systems. Requirements with guidance for use

• BS EN ISO 14007 Environmental management. Guidelines for determining environmental costs and benefits

• BS EN ISO 14008 Monetary valuation of environmental impacts and related environmental aspects

• BS EN ISO 14064 Series Greenhouse gases

• BS ISO 14072 Environmental management. Life cycle assessment

• BS EN ISO 26000 Guidance on social responsibility

• BS 8950 Social value. Understanding and enhancing. Guide

• PAS 808 Purpose-driven organizations. Worldviews, principles and behaviours for delivering sustainability. Guide

These complementary publications provide a broader foundation for organizations seeking to embed sustainability at every level.

Towards a more integrated understanding of value

BS ISO 14054:2025 does not introduce the idea of valuing nature as something entirely new. 

Many professionals - environmental economists, sustainability practitioners and others - have long worked to understand and integrate natural capital into decision-making. What the standard offers is a structured way to bring together diverse data, perspectives and existing practices into a consistent and transparent accounting process.

Rather than measuring or valuing nature directly, the standard helps organizations organize and communicate how their activities depend on and impact natural capital, informing decisions that support both business performance and environmental stewardship.

As more organizations seek to align with sustainability and resilience goals, BS ISO 14054:2025 provides a practical tool for embedding natural capital thinking into core operations, not as a trend, but as part of a well-established and evolving discipline.

Ready to embed nature into your business decisions? Get your copy of BS ISO 14054:2025 today and take the next step in your sustainability journey.