The transition to a sustainable economy represents the great transformation growth opportunity of the 21st century.

There are vast investment and financing needs to achieve global net zero emissions and nature related commitments. UK FPS can work with the UK Government as it delivers its own sustainability goals. It can also be a “go-to” partner for firms and countries across the world seeking to transition, protect biodiversity and deliver on other impact and sustainability-related objectives.

Big move #6: create the conditions to scale and accelerate financing for a just transition towards a low-carbon economy. Financial and professional services already play an important role in supporting the transition and will continue to do so.

However, the enabling conditions must be in place for the financial sector to be able to provide the supporting finance and investment. A crucial need is for the UK Government to provide clarity and commitment around sector-specific transition policies that deliver on its net zero strategy as part of predictable and durable energy and industrial policy foundations.

With the right enabling conditions, the signs are positive that the Government can mobilise sufficient private capital at pace to achieve the £100bn it has said it will leverage as part of its Net-Zero Strategy and British Energy Security Strategy.

Big move #7: scale innovative approaches to sustainable finance. The UK has a history of pioneering sustainable finance. There is an opportunity for it to cultivate high-integrity voluntary carbon markets, high-integrity nature markets and approaches for natural capital. 

The financing need, and opportunity, is vast. One estimate suggests that closing the finance gap to achieve nature-related outcomes targeted in UK policy will require a minimum of £44-97bn by 2032. 

The size of voluntary carbon markets has also begun to grow. One estimate put the total market size at nearly US$2bn at the end of 2021. This marked an almost fourfold increase from 2020. Continued growth at this pace would see the the market expand exponentially by the end of the decade.