Last week, the PRA issued their 2021 Climate Change Adaptation Report on the management of climate change risks and their findings in relation to banking and insurance regulatory capital regimes.

There are challenges when using traditional capital-setting approaches (such as those underpinning the current regulatory capital regime) to capture some of the unique aspects of climate risk. This is because using historical data and trends (common with traditional capital-setting approaches) may not be adequate for addressing future climate risks.

Download our full newsflash to read more about:

• The PRA's four key findings
• Supervisory approach to climate-related financial risks from 2022
• Identifying and quantifying gaps in the current insurance regime
• What‘s coming in 2022?
• What does this mean for financial services and how can we help?

Click here to read our full newsflash

If you would like to discuss this topic with one of our specialists, please get in touch.