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The EU Taxonomy is the first standardized and comprehensive classification system for sustainable economic activities. This paper provides the public interested in sustainability issues with an overview of the current state of non-financial reporting and the alignment with the EU Taxonomy. It aims at determining the institutional conditions and reporting practices of banking institutions in Europe. The thesis includes an analysis of non-financial information according to the TCFD recommendations and EU Taxonomy requirements of six banks throughout Germany and Spain during financial year 2020. The results highlight those geographic discrepancies in sustainability reporting will benefit banks who are already reporting in accordance with voluntary frameworks or have more stringent regulations for green financing in place. This paper shows that in the banking industry, comprehensive qualitative descriptions of climate change risk and opportunity have been provided, which will avail the consideration of the “do no significant harm” principle of the Taxonomy. Additionally, the social criteria of the EU Taxonomy are consistent with those of most existing systems and may thus be implemented by most banks already. The analysis also revealed that compared to existing frameworks, the EU Taxonomy's environmental criteria differ greatly. Accordingly, meeting the existing framework's criteria by itself is not enough to attain a high taxonomy alignment for financial institutions. Furthermore, a significant amount of data retrieval and analysis will be required by the EU Taxonomy. The lack of quantitative data in most financial institutions will require intensive improvement since this issue has not been adequately addressed yet.