Legal & Regulatory News

UK Government publishes Roadmap to Sustainable Investing

On 18 October 2021, the UK Government published a policy paper, 'Greening Finance: A Roadmap to Sustainable Investing' (the Roadmap), which maps its ambition to green the financial system and align it to the UK's net zero commitment. The Roadmap sets out three overarching phases to greening the financial system, which are summarised as follows:

• Phase 1: Informing investors and consumers on environmental sustainability in a bid to alleviate the existing information gap for market participants.
• Phase 2: Acting on the information to create expectations and requirements of sustainability to be incorporated into business decisions.
• Phase 3: Shifting financial flows so that they align with the UK's net zero commitment.

The Roadmap is intended to represent the UK Government’s strategy to deliver Phase 1. The Roadmap includes, amongst other things:

• more detail on the Sustainability Disclosure Requirements to help businesses prepare for what they will have to report and by when;
• more information on the UK Green Taxonomy;
• a discussion of the importance investor stewardship within green finance, together with government expectations in this area; and
• a reiteration of the UK's commitment to international leadership on green finance.

Click here to access the Roadmap.