Written by Jack Chellman, Head of Strategy and Communications at the Global Returns Project
The upcoming change in prime minister presents an important opportunity for the UK to recommit to government climate intervention. No global government is on track to meet the goals of the Paris Agreement.
The UK government in particular has room to improve, as evidenced by the recent ruling that its net zero strategy breaches the Climate Change Act and must be strengthened. Will the new prime minister be ready to lead the effort to keep the 1.5°C goal alive?
Tackling the Climate Crisis demands effective action from all sectors. As a result, the world of financial services must recognise opportunities to complement the climate actions of governments. Regenerative finance – directly regenerating the biosphere through financial strategies – will play a vital role alongside government climate action.
Too often, sustainable investing only minimises environmental harm. No investment product exists for directly regenerating the biosphere on which all investments depend. As a result, truly regenerative finance enhances and protects the biosphere by empowering not-for-profit climate organisations. Contributing to diverse, effective and scalable climate not-for-profits complements sustainable investing and can make a meaningful impact on the path to net zero and capping warming at 1.5°C.
Whether the new prime minister is Liz Truss or Rishi Sunak, a more climate-conscious government is needed to make direct regeneration of our biosphere a priority. Regenerative politics should then inspire a renewed commitment to regenerative finance, driven by support for climate not-for-profits within every financial strategy.