Legal & Regulatory News

Mark Carney outlines need for a step change in the approach to climate risks and resilience

The Bank of England has released two speeches which were recently presented by Mark Carney. Three key areas are highlighted in these speeches:

reporting – in particular, the need for mandatory disclosure of climate-related financial risks;

risk management – capital holders and regulators need to develop their understanding of the climate-related financial risks;

returns – "tilt" strategies and the tools to support them must become mainstream. Mr Carney suggests that a common taxonomy to help financial markets identify environmental outperformance and to direct investment accordingly is needed.

Click here to access the two speeches.