IFAs have huge role in global net zero transition: Alok Sharma

COP26 president and Conservative MP Alok Sharma has said financial advisers have a huge role to play in helping developing countries transition from fossil fuels to renewable energy. Speaking to advisers at AJ Bell’s Investival 2021 in London today (18 November), Sharma (pictured) said advisers have a part to play in ensuring money set aside for clean energy transition reaches developing countries. He warned it is a key greenwashing issue.

‘There is always this risk raised around greenwashing. It’s one of the reasons why Rishi [Sunak], the chancellor, has set out what the UK is going to do in this area. He wants London to be a financial centre for net zero,’ he said. ‘For me, there are two issues [around greenwashing]. One is ensuring funds and companies are actually delivering on their commitment to go to net zero.

‘The second is that this wall of money – and you guys are part of managing this – needs to find its way to climate-resilient projects not just in our country, but actually in developing countries. There is a big piece of work that needs to be done in terms of clean energy transition, for instance.  ‘One of the things we announced at COP26 is $10bn, from [Jeff] Bezos and others, which we hope we can grow to $100bn, to support developing economies transition from coal and fossil fuels to renewable energy. The key thing is how you channel this money into developing countries. ‘You guys and your industry have a huge role to play here. And you will know that actually going green is actually pretty good for the bottom line.’

Source: https://citywire.co.uk/