On the 19th of October 2022, the Chief Executive of the UK’s Environment Agency, Sir James Bevan, carried out a speech to address the climate emergency and the solutions we have to prevent any further damage.
One of the main points he addressed was that we must adapt and mitigate to become much more sustainable, especially businesses. He stressed that businesses must look towards sustainability ‘as consumers increasingly view their spending choices through a climate lens’. For businesses to survive they must continue to improve and become more environmentally friendly and sustainable.
‘as consumers increasingly view their
spending choices through a climate lens’
Sir James Bevan outlined why businesses should be looking towards green finance in the form of sustainable investments for three very important reasons.
- Risk – If businesses don’t begin making these moves towards greener financial practices and they continue to invest in unsustainable practices, climate change will continue to affect our planet. The UK is already feeling the effects of climate change in the form of droughts, extreme temperatures and floods, this will only get worse unless businesses make positive steps to change the way they invest.
- Reputation – The reputation of a company can be lowered if they don’t become more sustainable, not only with their customers, but also potential investors, future staff members and partners. In regards to green finance of lot of companies are now looking to put their money into more sustainable businesses.
- Reward – Those that invest their money into green initiatives, innovation, technologies and projects, will make more money in the long run. This is because they will be in a better position as we move towards the UK’s net zero date of 2050. This will make them more efficient, as well as more attractive to customers, investors, and potential partners.