In April 2019 the Bank of England announced its plans to disclose how climate related financial risks change are managed across its entire operations.

This report will be published in 2020 and will outline aims for the financial community to transition into low-carbon energy. The bank also expects all regulated financial services companies to disclose their approach to managing climate related risks.

What Impact this will have for suppliers to the financial community

One key area in which the Bank are looking to measure climate related risk is across their supply chain and they expect the rest of the financial community to follow suit in this respect. Banks, Building Societies and Insurers will now need to understand, not just their own impact on the environment, but also that of their suppliers.

Bank of England, who sit on the FSQS Governance Group, took the decision create a working group with the other FSQS Buyer members to work on how they could raise the bar of this topic amongst their supply chains. A session chaired by the Bank of England was subsequently set up in which the members worked collaboratively to put forward suggestions on FSQS could help this process.

Please view the Bank of England Press Release here… https://www.bankofengland.co.uk/-/media/boe/files/news/2019/april/boe-to-disclose-assessment-of-how-it-manages-climate-related-financial-risk.pdf?la=en&hash=6D42E4B88D3CF40668493A37EAE1471E786EA1A1