FCA publishes findings from Transition Finance Pilot

The FCA has published its findings from the Transition Finance Pilot in which it looked at barriers to scaling finance for climate solutions.

During the exercise, which also involved the PRA and the Green Finance Institute, the FCA spoke to more than 45 market participants who were mainly either capital providers or climate solutions companies and project developers.

It found the three main challenges to be:

• that some solutions struggle to reach a commercial maturity that will attract private capital;
• capital not always being well-matched to opportunity; and
• frictions created by information and capacity gaps.

It is now sharing report findings nationally and internationally as part of its work to strengthen market integrity, transparency and trust, and alongside its work on how the regulatory framework can better support SME access to finance.