VSME Templates for Financial Service Suppliers: Simplified Reporting Guide

Whether you are a payment processor, a financial adviser, an outsourced compliance team, or a regtech/fintech service partner, your banking and insurance clients increasingly expect structured sustainability information. Some financial suppliers report under CSRD, but most rely on simplified VSME-style disclosures because they are quick to prepare and easy for clients to integrate.

VSME — the Voluntary SME Sustainability Reporting Standard — gives small organisations across Europe a common language for explaining environmental, social, and governance practices. For financial service suppliers, this matters because banks must disclose sustainability risks and value-chain impacts, and they use your information to complete their own CSRD reports.

This guide provides ready-to-use VSME Basic templates tailored to financial service suppliers with small teams, office-based operations, and low environmental impact. The aim is simple: help you respond to client questionnaires without consultants, complex tools, or multi-week projects.

If you are unfamiliar with VSME, you can revisit the foundation in The VSME Basic Module Explained.

1. Why Financial Service Suppliers Should Use VSME Templates

1.1 Banks expect CSRD-aligned disclosures

Even when suppliers are not directly in CSRD scope, banks and insurers rely on the same themes to assess vendor risk:

• Climate and energy exposure
• Workforce conditions
• Governance and business conduct
• Data protection, ethics, and resilience

VSME provides a straightforward framework to show this information in a structured way.

1.2 You can reduce administrative burden

Many suppliers receive multiple ESG questionnaires every year. A reusable VSME-style template:

• Cuts response time
• Ensures consistency across all clients
• Helps the client integrate your data into their value-chain assessments
• Shows professionalism and readiness

1.3 Your impact profile fits VSME

Most small financial service suppliers have:

• 1–3 small offices or fully remote teams
• Low operational emissions
• High governance expectations
• A strong focus on data security and conduct

This means the VSME Basic module covers nearly everything needed.

2. What Financial Clients Are Looking For

2.1 Environmental

Even low-impact suppliers must provide:

• Annual electricity consumption
• Heating or cooling usage (if relevant)
• Scope 1 and 2 emissions (approximate values accepted)
• Cloud or data centre energy data if digital products are involved

These metrics support a bank’s climate risk processes. If estimates are needed, the Emission Factor Selection Guide is a helpful reference.

2.2 Social

Banks care about workforce stability and treatment across your value chain. They typically ask about:

• Number of employees and contractors
• Health and safety practices
• Equality, diversity, and inclusion policies
• Remote working safeguards
• Training and professional development
• Oversight of subcontractors or partners

2.3 Governance

This is the most important category for financial service suppliers. Clients expect:

• A clear Code of Conduct
• Anti-corruption policies
• Data protection and cybersecurity governance
• Roles and responsibilities for risk management
• Whistleblowing channels
• Policies for responsible marketing and client protection

You can explore this topic further in the Business Conduct hub.

3. VSME Basic Template for Financial Service Suppliers

You can copy and reuse this template whenever a client asks for sustainability information.

A. Organisation Overview

Company Name: Services Provided: (e.g., payments, advisory, compliance support) Employees: total + breakdown (permanent/contract) Locations: office sites or remote model Key IT/Cloud Providers: (if applicable)

B. Environmental Summary (VSME Basic)

1. Energy Use

• Annual electricity consumption (kWh):
• Heating or cooling use (if separate):

2. Emissions (approximate values accepted)

• Scope 1:
• Scope 2:
• How values were calculated or estimated:

3. Data Hosting & Cloud Efficiency

• Provider renewable energy %.
• Any efficiency measures (autoscaling, low-compute configurations).

4. Waste & Resources

• Office waste handled through local recycling streams.
• No material use beyond standard office operations (if applicable).

C. Workforce & Social Information

1. Employment Profile

• Total employees and contractors.
• Remote/hybrid arrangements and safety provisions.

2. Health & Safety

• How risks are monitored for office or remote work.
• Incident reporting structure.

3. Equality & Inclusion

• Policy or commitment statement.
• Training offered on diversity, conduct, or well-being.

4. Value-Chain Workers

• Oversight of subcontractors or freelancers.
• Fair treatment expectations communicated to partners.

D. Governance & Conduct

1. Code of Conduct & Ethics

• Publicly available statement or internal policy.

2. Data Protection & Cybersecurity

• Governance structure (data protection officer, tech lead, risk owner).
• Certifications or frameworks followed (ISO 27001, NIST, GDPR).

3. Anti-Corruption & Integrity

• Policies and training on fraud, bribery, conflicts of interest.

4. Whistleblowing & Grievances

• Process for reporting concerns internally or anonymously.

5. Customer Protection

• Safeguards for responsible communication and ethical technology practices.

4. VSME Comprehensive Add-Ons (Optional for Larger Clients)

Some financial institutions—especially insurers, asset managers, and EU branches of global banks—may ask for more detail. You can extend the template with:

4.1 Environmental

• Location-based vs market-based emissions
• Cloud usage intensity (CPU hours, compute type)
• Renewable energy procurement

4.2 Social

• Training hours per employee
• Employee turnover
• Accessibility commitments

4.3 Governance

• Board or leadership oversight frequency
• Documented risk management framework
• Responsible AI controls (if applicable)

5. How to Use These Templates with Clients

Step 1 — Complete the VSME Basic template internally

Use simple numbers you already track: electricity bills, cloud dashboards, HR records, and governance documents.

Step 2 — Share the template as a “standard pack”

Clients appreciate structured, consistent information. You can send:

• The completed VSME Basic summary
• Your Code of Conduct
• Data protection policy
• Short environmental note (1–2 pages)

Step 3 — Update annually

Most suppliers refresh their disclosures once per year. This satisfies most bank and insurer requirements.

Step 4 — Keep additional documents ready

Having optional add-ons prepared reduces follow-up requests for more complex client questionnaires.

Step 5 — Encourage dialogue

Proactive communication strengthens relationships and supports CSRD-aligned stakeholder expectations. For context, see the topic hub on Stakeholder Engagement.

Frequently Asked Questions

What is the VSME Basic module and why is it useful for suppliers?

The VSME Basic module is a simplified sustainability reporting format for small organisations. It helps suppliers provide structured and consistent data when financial clients request ESG information. For an introduction to its structure, see The VSME Basic Module Explained.

What if our company has very low environmental impact?

That’s normal for financial service suppliers. You can still disclose electricity use, cloud energy data, and basic emissions estimates. Banks prefer simple transparency over complex modelling. The Emission Factor Selection Guide can help if estimates are needed.

How often should we update our VSME template?

Once per year is generally enough. Most banks only revise supplier assessments annually, unless your service is considered critical.

Do we need consultants to complete VSME?

No. The Basic module is designed so SMEs can complete reporting with internal data only. If your clients require more detail, you can gradually expand using VSME Comprehensive elements.

Key Terms

• VSME: Voluntary sustainability reporting standard for SMEs.
• Reporting Disclosure: How sustainability information is shared with clients or partners.
• Value-Chain Workers: People affected through subcontracting or outsourced activities.
• Data Collection: Gathering essential metrics for environmental, social, and governance reporting.

Conclusion

For financial service suppliers, sustainability reporting doesn’t need to be complicated. With a simple VSME Basic template, you can provide the information banks and insurers require, reduce repetitive questionnaire work, and demonstrate readiness for long-term partnerships. With structure, clarity, and annual updates, sustainability reporting becomes an efficient business practice rather than a burden.