Morning, Friday, 25th April 2025
Online
This conference will discuss next steps for development of the UK transition finance market, including policy, regulation, and market growth, following the Transition Finance Market Review.
It will be an opportunity for key stakeholders and policymakers to discuss the way forward in the context of recent and forthcoming proposals, including the Government’s consultation on a statutory UK Green Taxonomy, the Financial Services Growth and Competitiveness Strategy, and measures set out in the November Mansion House speech.
Areas for discussion include alignment of these developments with the aims of the Industrial Strategy Green Paper, as well as new regulation for ESG ratings providers, and the promise of mandatory transition plans, and priorities for the Transition Finance Council. Further discussion is expected on how these developments might work alongside emerging UK Sustainability Reporting Standards and potential funding sources, including the National Wealth Fund, in advancing net zero ambitions and driving economic growth.
Further sessions examine latest thinking on ways to scale transition finance effectively in areas such as fostering collaboration between industry and policymakers, developing market capabilities for high-emitting sectors, and addressing capacity-building needs. Attendees will also explore how best to link policy proposals with practical strategies for investment, regulation, and corporate governance
With the agenda currently in the drafting stage, overall areas for discussion include:
- Transition Finance Market Review recommendations:
- assessing progress since publication - the future for a Transition Finance Lab - implications of mandatory transition plans at corporate and national levels
- alignment of operational and financial strategies with sustainable practices while meeting disclosure and compliance requirements
- options for policy to support sectoral transition, incentivise sustainable investment, and meet international standards
- Green Taxonomy:
- priorities and next steps for defining sustainable activities - assessing its necessity given existing frameworks, such as the EU Green Taxonomy
- providing regulatory clarity, alongside flexibility to adapt to market needs
- corporate transition plans:
- practical considerations and implications of mandatory disclosures - addressing international divergences, such as between TPT/IFRS and EU CSRD
- latest thinking on strategic pathways for SMEs and high-emitting sectors
- scaling transition finance:
- assessing expectations in the Transition Finance Market Review for credible planning as a precondition for accessing transition finance
- mechanisms such as green bonds, public-private partnerships, and incentive-based financing to encourage compliance with net zero goals
- tackling barriers to investment in decarbonisation - integrating just transition principles into organisational strategy and best practice
- sustainability reporting standards:
- reviewing FCA proposals for listed companies - assessing options for expansion to non-listed firms - the role of data-sharing initiatives like open banking
- regulatory alignment:
- priorities for coordination across HM Treasury, FCA, and other bodies - addressing potential impacts of regulatory overlaps on growth and sustainability objectives
- options for alignment with international approaches
- Industrial Strategy:
- examining the role of transition finance in broader economic priorities - assessing the future balance of public and private funding - practical considerations for a national transition plan
- sector-specific challenges:
- addressing energy transition issues, including CCUS and renewables investment - examining strategies to streamline planning processes and addressing barriers in permitting frameworks
- priorities for supporting innovation in green finance products
- fiscal and monetary policies:
- options for incentives in catalysing transition finance - evaluating the alignment of Bank of England policies with international best practices and standards
- assessing the potential impact of options, such as tax incentives or levies, on the ability of key sectors to transition
- Governance and communication:
- priorities for bodies such as the proposed Transition Finance Council for fostering stakeholder engagement
- enhancing transparency and confidence in transition finance markets - building capacity across sectors
