Climate Change: What do the new TCFD reporting requirements mean for UK organisations?
In November, the HM Treasury issued new climate-related reporting requirements and timeline for UK organisations, as the UK transitions to a lower-carbon economy.
Climate-related demands for UK companies and organisations are accelerating, changing the shape of reporting and risk management across all sectors. The UK Government is the first among the G20 to publish its proposed timeline for mandatory reporting. Whilst not yet written into law, and subject to further consultation, the HM Treasury November 2020 report communicates the forthcoming Task Force on Climate-Related Financial Disclosures (TCFD) process and key milestones.
Our briefing sets out, as a useful starting point, the proposed TCFD timeline and the requirements to which Marsh clients must respond as the UK transitions to a lower-carbon economy. It is a useful starting point for you to consider the implications of the Interim Report on your strategic, financial, operational planning, risk and governance arrangements in order to develop a plan of action for the coming months. Activities should include developing a corporate roadmap for TCFD, incorporating climate risk into ERM and resilience frameworks, and establishing and testing reporting mechanisms in advance of the proposed deadlines.