The government has launched its Green Finance Strategy, to increase investment in sustainable projects and infrastructure, while ensuring the UK remains an international leader in decarbonisation and meets its 2050 net zero carbon emissions target. The UK’s financial services sector has been placed firmly at the heart of efforts to tackle climate change and reduce emissions to net zero by 2050. The new Green Finance Strategy is designed to help boost sustainable investment, with an expectation for listed companies to disclose how climate change impacts their work
The Government is establishing a £5 million Green Home Finance Fund to help pilot products like green mortgages, which utilise green finance for home energy efficiency, and incentivises energy efficiency retrofit to make homes more environmentally sustainable. The Government is also proposing to launch a Green Finance Education Charter to make sure financial services-related qualifications and certificates include developing practitioners’ knowledge and understanding of green finance, so they have the tools to take it up.
The fund is also designed to clarify the need for financial regulators to have regard for climate change when advancing their objectives and discharging their functions building on the Climate Change Act – the first of its kind – which puts the 25 Year Environmental Plan on statutory footing.