Source · Select Committees · Environmental Audit Committee
Recommendation 30
30
Acknowledged
Legislate for mandatory nature-related impact disclosure by businesses based on TNFD recommendations.
Recommendation
In order to support target 15 of the Kunming-Montreal Global Biodiversity Framework, we recommend that the Government bring forward proposals to legislate for mandatory 50 The UK’s contribution to tackling global deforestation disclosure of nature-related impacts by businesses, including the financial sector, on the basis of the November 2023 recommendations of the Taskforce on Nature-related Financial Disclosures, and should set a clear timetable for doing so. (Paragraph 95) Global agreements to tackle deforestation
Government Response Summary
The government encourages businesses to use TNFD recommendations and will consider how best to incorporate them into UK policy and regulatory architecture, ensuring they are appropriate and beneficial for the UK context.
Government Response
Acknowledged
HM Government
Acknowledged
The UK is one of the largest donors and supporters of the global, market-led Taskforce on Nature-related Financial Disclosures (TNFD) initiative. The TNFD represents a powerful example of translating UK green finance policy commitment into real world delivery with international market participation. We encourage businesses to use the TNFD’s risk management disclosure recommendations and guidance. Of the 320 ‘TNFD Early adopters’, 46 are UK-headquartered organisations, more than France (19), Germany (6) and the USA combined. The TNFD provides the main method of operationalising Target 15 of the KMGBF. The UK government welcomes closer integration between the TNFD and the International Sustainability Standards Board’s (ISSB’s) emerging global baseline on sustainability reporting. The UK government will consider how best to incorporate the TNFD into UK policy and regulatory architecture, in a manner that is conducive to the long term public good in the UK, as well as consistent with global sustainability reporting. The Government will ensure that these standards are only endorsed where they are appropriate and beneficial in a UK context, taking advice from the Policy Implementation Committee (PIC) and Technical Advisory Committee (TAC).