On 10 October 2024, the Financial Conduct Authority (FCA) updated its Climate Financial Risk Forum (CFRF) webpage to add links to three new guides on key areas of climate risk: Nature-related Risk: Handbook for Financial Institutions, Short-term Scenarios, and Mobilising Adaptation Finance to Build Resilience.
The handbook on nature-related risk aims to provide an introduction for financial institutions to help frame nature as a risk, and discusses emerging practices in incorporating nature into financial risk management. In addition to the guidance itself, there are supporting documents in the form of Nature-related Risk: Technical Data Guidance for Financial Institutions and a Nature-related Risk: summary document.
The guide relating to short-term scenarios aims to discuss the various use cases of short-term scenarios for banks, asset managers and insurers to provide more guidance to firms. A Short-term Scenarios: summary document has been published alongside it.
The guide on mobilising adaptation finance to build resilience aims to provide guidance for the industry to assess physical risks they face and to facilitate increased levels of investment into climate adaptation to respond to those risks as an opportunity. Supporting documents published alongside it include a Mobilising Adaptation Finance to Build Resilience: summary document, an Adaptation user survey and Adaptation case studies.