UK Transition Plan Taskforce: consultation on sector-neutral transition plans

The transition to net-zero requires high quality and credible transition plans. Such plans not only enable companies and financial institutions to meet their net-zero commitments, they also ensure investors can make better-informed capital allocation decisions. Charlotte Hill and Daniel Hirschfield review the recent consultation on sector-neutral transition plans.

Charlotte Hillis a partner and head of the Financial Services Regulatory group at Taylor Wessing in London, whereDaniel Hirschfieldis a senior knowledge lawyer. Contact them onc.hill@taylorwessing.com andd.hirschfield@taylorwessing.com.

At COP26 in November 2021 in Glasgow, the UK Government announced that the United Kingdom will be the first net-zero aligned financial centre in the world and that to support this the jurisdiction would move towards requiring mandatory transition plans focusing first on the financial sector. [1] To achieve this, the Government created a high-level Transition Plan Taskforce (TPT), which was formally launched in April 2022. [2]