Government responds on net zero recommendations for financial sector

The Government has responded to the Environmental Audit Committee’s recommendations in respect of boosting the role of the financial sector in achieving net zero. It says it won’t introduce quarterly reporting on how it is meeting targets in respect of North Sea oil and gas licences. The EAC report had also called on companies to have mandatory transition plans, saying that the “comply or explain” approach defeated the point of a policy. The Government also did not engage with this, but both it and the FCA should be consulting on the approach they are taking to transition plans.

The Committee has written to the Government noting that consultations  are promised for “early 2024” but is worried that timelines appear to be slipping.