London has ‘no intention of slowing down’ on green finance
A group of experts has delivered its recommendations to the UK Government as to how it can grow sustainable finance in the country.
A group of experts has delivered its recommendations to the UK Government as to how it can grow sustainable finance in the country.
London is one the world’s leading financial centres and a recent report also confirmed the city as the go-to destination for new green financial products. Nevertheless, the government asked for a new Taskforce to investigate how it can grow and consolidate this position within the market.
The analysis released this week, entitled Accelerating Green Finance, is the result of over six months of consultation with 140 organisations across the financial and energy sectors. Its policy recommendations for the government include issuing a sovereign green bond, similar to France’s first €7 billion issuance in 2017. This would help fund climate resilience projects, such as flood defences across the UK.
In addition, the Taskforce suggests increasing the level of investment in clean technologies; setting up regeneration zones based on clean growth, and stoking supply and demand for new green financial products.
The work was led by the former Lord Mayor of the City of London Sir Roger Gifford, who said that although London is an international hub for green finance, “it’s now time to move things up a gear”.
“The opportunities for green investment are plentiful – London’s deep pools of liquidity make it the natural choice for financing these initiatives. This report marks a significant starting point for truly propelling green finance onto the national agenda. We look forward to engaging with Government closely on this in the short and long-term future.”
John Glen MP, Economic Secretary to the Treasury and City Minister pointed out that $10 billion was raised in green bonds listed in London in 2017 and “we have no intention of slowing down”.
“I want to thank the Taskforce for their hard work, and I look forward to working with the industry on their recommendations to ensure that this market flourishes, not just at home, but across the world”, he added.
