Environmental finance

We are active in establishing links with, working alongside and looking to influence the financial and business sectors. We aim to provide companies with information on how being 'green' makes financial sense and demonstrate this with case studies of our own work on environmental accounting. In addition, we have undertaken research projects that look at:

• some of the key environmental issues for the finance sector; and
• our polices towards greater corporate environmental disclosure.

Latest news

• Environmental issues and annual financial reporting (PDF, 908KB)
  A new guide on reporting environmental issues in annual financial statements that we have launched with the Institute of Chartered Accountants for England & Wales. It is aimed at those responsible for preparing, auditing and using these publications.

Research

We have commissioned a number of research reports which examine the often complex interactions between the finance sector and the environment. Through this research, we aim to encourage awareness of the impact of environmental issues on financial decisions.

• 2007 Environmental Disclosures (PDF, 929.63KB)
  Our latest report looking at the environmental disclosures of the 500+ companies in the FTSE All-Share. Including updates on the latest reporting requirements and drivers for change.
• 2004 Environmental disclosures summary report (PDF, 1.85MB)
  Summary report that examines environmental disclosures in the 2004 annual report & accounts of companies in the FTSE All-Share.
• 2004 Environmental disclosures full report - part 1 (PDF, 1.64MB)
  Part 1 of the full report, Environmental Disclosures in the 2004 annual report & accounts of companies in the FTSE All-Share.
• 2004 Environmental disclosures full report - part 2 (PDF, 1.92MB)
  Part 2 of the full report, Environmental Disclosures in the 2004 annual report & accounts of companies in the FTSE All-Share.
• Corporate Environmental Governance (PDF, 1.90MB)
  The link between the financial performance of a company and how it manages its interactions with the environment and the influence of the environment on it has long been debated. We commissioned this research to investigate this link.
• Corporate environmental research (PDF, 1.83MB)
  Our full report examining corporate environmental research organisations - and how their methods and approaches to rating and ranking companies differ.

Company law

In responding to the Company Law Review we have set out our policy on corporate environmental governance.  Details of the response can be found below.

• Response to DTI Consultation on Company Law Reform (PDF, 139.24KB)
  Our response to the DTI consultation on the business review and chapter 6 company law reform bill.
• Our response to the company law review -  Completing the Structure (PDF, 43.78KB)
• Our policy on corporate environmental governance (PDF, 43.78KB)

Economic tools and carbon management

Working with external organisations we have published a number of joint reports looking at the role of economic tools in solving environmental problems, and more recently the topical issue of carbon management and carbon neutrality in the FTSE All-Share.

• Aldersgate Group report on carbon accounting and reporting
  A report produced by the Aldersgate Group, of which we are members, calling for clearly defined and comparable methods for reporting and disclosing carbon emissions to be established.

Environmental accounting

Environmental accounting involves the integration of environmental performance measures into core financial processes. Linking this information allows for both financial savings and reduced environmental impacts.

The pages in this section set out in more detail:

• What exactly Environmental Accounting is
• Why we decided to implement an environmental accounting system (EAS)
• Case studies of our resource use and examples of where and how we have delivered financial savings through doing this
  
  
• Update of practical guide to environmental management accounting. We have recently contributed to an update of the Envirowise guide on environmental management accounting.  The publication provides practical guidance on identifying, analysing, managing and reducing the costs associated with raw materials, services and waste, with the aim of saving money and reducing environmental impacts.