The Bank of England will carry out further study as it is not yet clear whether it needs to require banks and insurers to set aside longer-term capital buffers to provide for the consequences of climate change.
Liz Truss has been issued a veiled warning over new government policies by the head of Natural England, who says “even bankers need to eat, drink and inhale clean air”.
Some of the world’s biggest central banks are unwittingly helping to finance agri-business giants engaged in the destruction of the Brazilian Amazon, according to a report published on Wednesday.
The Bank of England is facing criticism over the way it is conducting its first climate stress tests, with politicians and campaigners warning that a lack of penalties for dirty assets will give banks little incentive to clean up their act.
Central banks are usually tasked with keeping inflation in check, while promoting economic growth and employment. Now, add fighting the climate crisis to the list.
Urgent reforms of the Bank of England are needed to help decarbonise the financial system and boost green investment as Britain recovers from the Covid-19 pandemic, a group of leading academics has said.
