Featured Product

    FCA Sets Out Priorities on Climate Change and Green Finance

    October 16, 2019

    FCA published feedback statement (FS19/6) on its October 2018 discussion paper (DP18/8) on climate change and green finance. Through the discussion paper, FCA sought views on the potential FCA action on climate change and green finance, in line with its strategic objective of ensuring that relevant financial markets function well. The statement identifies a number of priorities that will provide a foundation for the future work of FCA in this area. These priorities include issuers’ climate change disclosures, regulated firms’ integration of climate change risk and opportunities into their decision-making, and consumers’ access to green financial products and services.

    The feedback statement applies to policy makers and regulatory bodies, regulated firms, issuers, investors, and advisers to issuers and investors, industry groups/trade bodies, industry experts and commentators, consumer groups and individual consumers, charities, and academics and think tanks. The statement sets out the key actions FCA will take:

    • Consult in 2020 on new rules to improve climate-related disclosures by certain firms and clarify existing obligations
    • Finalize rule changes requiring Independent Governance Committees to oversee and report on firms’ environmental, social, and governance (ESG) and stewardship policies
    • Publish a feedback statement in response to a joint Discussion paper with the Financial Reporting Council on Stewardship, setting out actions to address the most significant barriers to effective stewardship
    • Clarify expectations about consumer access to green financial products and services and take appropriate action to prevent consumers from being misled
    • Continue to contribute to several collaborative initiatives, including the Government-led cross-regulator taskforce on disclosures and the Climate Financial Risk Forum (CFRF), which was established with PRA earlier this year.

    FCA had received 73 responses to the discussion paper from a range of stakeholders, including regulated firms, trade bodies, and think tanks. The feedback has been summarized under five key themes: climate-related disclosures by securities issuers; climate-related disclosures by regulated firms; common metrics and standards on sustainability; stakeholder concerns, commercial priorities, and barriers to growth; and industry engagement. 

     

    Related Links

    Keywords: Europe, UK, Banking, Insurance, Securities, Climate Change, Green Finance, Climate-Related Disclosures, FCA

    Related Articles
    News

    NGFS Updates Address Short-Term Climate Scenarios and Transition Plans

    The Network for Greening the Financial System (NGFS) is exploring the development of short-term climate scenarios to complement its existing scenario framework of long-term climate scenarios.

    May 31, 2023 WebPage Regulatory News
    News

    ISSB Updates Address ESG Issues while IASB Consults on Impairments

    The International Sustainability Standards Board (ISSB) is seeking feedback, until August 09, 2023, on the exposure draft that sets out the methodology proposed by ISSB to amend the Sustainability Accounting Standards Board (SASB) Standards' metrics

    May 30, 2023 WebPage Regulatory News
    News

    OSFI to Review Liquidity Adequacy Guidelines and Policy Architecture

    The Office of the Superintendent of Financial Institutions (OSFI) is consulting, until June 21, 2023, on a review of the liquidity treatment provided in the Liquidity Adequacy Requirements (LAR) Guideline for wholesale funding sources with retail-like characteristics.

    May 30, 2023 WebPage Regulatory News
    News

    ESRB Publishes Report on Cryptos and DeFi; ECB Updates on Digital Euro

    The European Systemic Risk Board (ESRB) published a report that outlines the systemic implications of crypto markets and proposes policy options to address the risks stemming from crypto-assets and decentralized finance or DeFi.

    May 26, 2023 WebPage Regulatory News
    News

    EU Agencies Issue Updates on DORA, ESAP, and Crowdfunding Regulation

    The European Supervisory Authorities (ESAs) published a discussion paper on their joint advice to the European Commission (EC) on proposals to specify criteria for critical information and communication technology (ICT) third-party service providers

    May 26, 2023 WebPage Regulatory News
    News

    ESAs Propose ESG Disclosure on STS Securitization, Issue Other Updates

    The Joint Committee of the three European Supervisory Authorities (ESAs) proposed to amend the Implementing Regulation 2016/1799 on the mapping of External Credit Assessment Institutions' (ECAIs) credit assessments.

    May 26, 2023 WebPage Regulatory News
    News

    UK Authorities Issue Updates, Finalize Policy on Model Risk Management

    The Prudential Regulation Authority (PRA) finalized the model risk management principles for banks, the policy statement PS5/23 on risks from contingent leverage, and PS4/23 on moving senior managers regime forms from the PRA Rulebook.

    May 25, 2023 WebPage Regulatory News
    News

    APRA Revises Implementation Timeline for Operational Risk Standard

    The Australian Prudential Regulation Authority (APRA) updated the implementation date of the new cross-industry prudential standard CPS 230 on operational risk management

    May 25, 2023 WebPage Regulatory News
    News

    BCBS Consults on Basel FAQs and Amendments, Issues Other Updates

    The Basel Committee on Banking Supervision (BCBS) published a report assessing implementation of the global Basel standards on net stable funding ratio (NSFR) and large exposures (LEX) in South Africa

    May 25, 2023 WebPage Regulatory News
    News

    EBA Announces Multiple Regulatory and Reporting Updates in April 2023

    The European Banking Authority (EBA) published consultations on the amendments to the guidelines on risk-based anti-money laundering and countering the financing of terrorism (AML/CFT) supervision

    May 24, 2023 WebPage Regulatory News
    RESULTS 1 - 10 OF 8913