The Department for Business, Energy & Industrial Strategy (BEIS) is seeking consultation on proposals to require mandatory TCFD aligned climate-related financial disclosures from publicly quoted companies, large private companies and Limited Liability Partnerships.

The proposals build on the expectation set out in the government’s 2019 Green Finance Strategy, that all listed companies and large asset owners should disclose in line with the Task Force on Climate-related Financial Disclosure (TCFD) recommendations by 2022.

Commenting on the proposals Sarah Woodfield, stewardship manager at the Investment Association said: "This proposal is a crucial and welcome step forward as the UK looks to reach net-zero by 2050 and achieve its ambition to be a global leader in sustainability. Investment managers have an important role to play as stewards in supporting companies transition to a more sustainable future. Having clear and consistent data on the climate-related risks faced by both private and public companies is vital to achieve this. It will also support investment managers to better communicate climate risk to their pension fund clients, enabling them to meet their disclosure requirements and better understand the impact of their investment portfolios."

The consultation closes on 5 May 2021.

Share Story: