Roadmap Launched to Address £5.6 Billion UK Nature Financing Gap

A new report has outlined a roadmap for increasing private investment in projects that promote and protect nature in the UK. The report, published by the multi-sector Financing UK Nature Recovery coalition, estimates an annual £5.6 billion finance gap unable to be covered by public and philanthropic funding, which will prevent the UK from meeting its key nature-related objectives. The report highlights several barriers to private investment in nature including mis-aligned and complex environmental regulation, the undervaluation of nature and a lack of secure revenue streams and standards which mean the risks of investment currently outweigh the returns for private firms. The report’s framework aims to secure large-scale private investment in nature and biodiversity each year by 2030, leverage public expenditure and modernise regulation. It also recommends the UK and devolved governments, which have committed to working with the coalition, focus on structural improvements to market design, governance and operations. Green Finance Institute CEO Dr Rhian-Mari Thomas said: “We know that private finance must be mobilised into nature restoration and nature-based solutions if we are to meet our UK biodiversity and climate mitigation and adaptation goals. We also know the barriers to unlock, the incentives to create and the market infrastructure that needs to be put in place to ensure this happens at pace, at scale and with high integrity. Now we need the collective effort to turn recommendations into action.” 

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