On 15 October 2018, the FCA published Discussion Paper 18/8: Climate change and green finance (DP18/8).
At the beginning of DP18/8 the FCA states that it is widely recognised that the risks from climate change will affect the risks to, and therefore value of, some kinds of investment. Institutional investors are considering climate change-related issues, and asset managers are increasingly being given mandates that refer to climate change. This means that readily available, reliable and consistent disclosures about climate change issues would help ensure those making investment decisions had accurate information to help them.
In DP18/8 the FCA sets out:
- how the different impacts of climate change could impact the FCA’s long and short-term objectives;
- some of the opportunities and risks the transition to a low carbon economy presents in the UK’s financial markets; and
- the specific action the FCA will take in the near term to ensure that markets function well and deliver good outcomes for consumers.The FCA also states in DP18/18 that it is setting a Green Fintech Challenge to industry: calling for the market to develop innovative financial products and services to assist in the UK’s transition to a low carbon economy. The FCA will publish further details on this challenge on 19 October 2018.
The deadline for comments on DP18/8 is 31 January 2019.
The FCA also states in DP18/18 that it is setting a Green Fintech Challenge to industry: calling for the market to develop innovative financial products and services to assist in the UK’s transition to a low carbon economy. The FCA will publish further details on this challenge on 19 October 2018.