weathering the storm: the impact of climate change on london's economy
TRANSCRIPT
Weathering the StormThe Impact of Climate Change on London’s Economy
An Executive Summary
Economy Committee
Investment Supply Chain
InsuranceLack of Adaptation
Over £400billion UK assets are in countries vulnerable
to climate change
Fossil fuel investments face a carbon bubble if global
emissions are capped
60% of SMEs have no plan for severe weather
54% of FTSE 100 have no climate adaptation
business strategy
Critical overseas supply chains are vulnerable to the effects of climate change…
…leading to shortages and price rises e.g. of
tech components / food supply
A 4% rise in global av. temperature → 14% rise in annual insured losses
Sector will struggle to provide commercial cover
in the face of Climate Change
Risks of Climate Change for London’s
Economy
Global city, global risksLondon’s status as a global city makes its economy increasingly vulnerable to climate change risks ‘imported’ from overseas…
Photo credit: Tom Simpson
overseas supply chains
for critical products e.g.
food are at risk from flooding and drought The UK has
>£400billion assets in countries
vulnerable to climate change e.g. India
How prepared are businesses?
46 per cent of FTSE 100 firms have no adaptation business strategy in place for climate changeCarbon Disclosure Project, Insights into Climate Change Adaptation by UK Companies, 2012
60 per cent of small & medium sized enterprises have no plan in place to deal with extreme weather conditionsFederation of Small Businesses, Severe Weather Survey, 2014
Photo credit: Tom Simpson
London and its economy, are not fully resilient in the face of climate change.
Our report makes a number of recommendations, including…
Our investigation concluded that…
Photo credit: Tom Simpson
1. Map major supply chain vulnerabilities
The London Climate Change Partnership should map the major supply chain vulnerabilities of London’s economy.
2. Launch a Mayoral award for adaptation
A Mayoral award for climate change adaptation should be launched to encourage adaptation planning and sharing of best practice.
Photo credit: Tom Simpson
3. Invest responsiblyThe Mayor should commit to the principle of a transition away from investments in coal. The London Pension Fund Authority should explore options for managed divestment of their funds.
4. Diversify London’s economyThe Mayor should integrate climate change adaptation into his Economic Development Strategy…
…to drive forward a resilient, low carbon economy, develop London’s adaptation skills bases and encourage further innovation in the green economy.Photo credit: Tom Simpson
Further information
Download ‘Weathering the Storm’ and read more about our investigation at www.london.gov.uk/weatheringthestorm.
Scrutiny [email protected] 983 5618
Media [email protected] 983 4067
Please share this report with your networks and if you would like to show your support please tweet with the hashtag #weatheringthestorm