Jonathan Acosta-Smith, Benjamin Guin, Mauricio Salgado-Moreno and Quynh-Anh Vo
Over the past years, a growing consensus has acknowledged the need to construct a ‘system [wherein] every financial decision takes climate change into account‘. While such a system is still far from reality, market participants already produce and demand an increasing amount of climate-related information. Equally, many authorities around the world are considering mandatory climate-related reporting. These developments raise myriad unanswered questions. We focus on the following in a recent working paper:
- How have voluntary, climate-related disclosures of UK financial institutions changed over time?
- Can prudential regulators influence current climate-reporting levels just by announcing a future shift to mandatory reporting?
This post summarises the main insights from this paper.
Continue reading “Understanding climate-related disclosures of UK financial institutions”