On the first anniversary of the launch of Chapter Zero this Bulletin brings you the latest updates and initiatives to keep you informed on the climate change challenge

  • Chapter Zero now has a membership of more than 900 (800 in May).
  • 47 of the companies in the FTSE 100 have at least one Chapter Zero board member (44 in May). The chapter now has members on 144 boards in the FTSE 350 (138 in May).

Latest Chapter Zero news

  • It is exactly a year since the launch of Chapter Zero and our press release with messages of support and calls to action from our founding Chairs can be read here
  • As part of the Climate Crisis series hosted by Deloitte in collaboration with Chapter Zero, Mark Carney, Dr Nigel Wilson and others, discussed the role of the board in the transition to net-zero, see more below
  • Chapter Zero and its founding Chair, Mark Tucker, Chair of HSBC Holdings plc, were mentioned in Bloomberg
  • Our new Climate Change Strategy and Action toolkit was launched in June. You can view it here

Trending in June

> Key quotes from yesterday’s webinar – “The role of the board in the transition to net-zero”
‘The question increasingly being asked of companies whatever sector is “what is your plan for the transition to net-zero”. Providers of capital will want to know the answer.’
– Mark Carney, United Nations Special Envoy for Climate Action and Finance and former Governor of the Bank of England

‘Climate is the single issue that binds the culture of our people together… We need ambitious companies.  We have a framework and we know what needs to be done. Now we need more businesses with real plans’
– Dr Nigel Wilson, CEO of Legal & General plc

The recording for on-demand viewing will be available soon.

> The investor push for climate competence
As some investors push company boards over climate literacy, others are nominating experts of their own. Read this helpful article in Responsible Investor, who lifted their paywall so we could share it with our members. In this article Australian Centre for Corporate Responsibility’s Dan Gocher points out that, even when climate experts do have a seat at the table, it isn’t an automatic ticket to success. “Investors need to make sure that the whole board understands what is needed to manage a climate transition.”

> UN’s Race to Net Zero 
The UN has launched a major new campaign to build momentum ahead of the rescheduled COP26 climate conference. The Race to Zero Campaign will encourage countries and companies to announce decarbonisation plans by November 2021 consistent with the goal of limiting climate change to 1.5C. Nearly 1000 businesses have signed up.

Chapter Zero in the news 

Bloomberg, June 3, by Saijel Kishan
argues that the sustainable revolution has not yet reached the top levels of US and European banks. But noted that HSBC Holdings plc Chair, Mark Tucker, is part of Chapter Zero, a forum designed to assist boards with discovering how climate change is impacting their companies and industries. Read the article: The Other Fossils in the Boardroom

New resource for NEDs: Chapter Zero’s Climate Strategy and Action toolkit

Chapter Zero has teamed up with consultants Eden McCallum to produce the latest in its series of toolkits intended to arm non-executive directors with the resources and knowledge they need to respond to the climate challenge. David Tyler, Chair of Hammerson plc, and Chapter Zero founding Chair, says it is “… a really helpful aid for NEDs to develop an agenda for addressing climate change in their companies.”

Do share the toolkit with your executive colleagues.

Download the toolkit and executive summary from the Chapter Zero website here.

For ease, here is a summary of the tools we have developed to help NEDs tackle the climate challenge.

Initiatives to involve your companies in

> Goal 13 Impact Platform

Chapter Zero is working with the CBI, Deloitte, A4S, Dell and the Met Office to deliver the Goal 13 Impact Platform, which will support companies in managing the transition to a low carbon, resilient and competitive future. Learn more about the initiative by reading the briefing here and to register interest please email us using this link.

> Climate Disclosure expectations and TCFD Survey

The Financial Conduct Authority is consulting on a new, comply or explain, climate disclosure for all commercial companies with a UK Premium listing.

Chapter Zero is working with Willis Towers Watson to raise awareness of, and gain insight into, firms’ readiness to implement TCFD. Participants are asked to complete a brief TCFD survey, will receive insights from the aggregated results, and are invited to a webinar later this year to discuss the survey’s findings.

Do bring climate disclosure expectations to management’s attention and encourage your companies to participate in the survey.  Here is an email to forward to your firm’s climate change leader and the link to the survey.

London Climate Action Week

> Building back better: industrial transformation and the role of investors

Join us for a webinar hosted by HSBC and Chatham House during London Virtual Climate Action Week. The interactive webinar will seek to understand how the pandemic is interacting with the need for accelerated action on climate change and greater sustainability in key sectors such as aviation, fossil fuels, and insurance.

The event will:
• highlight variations between government responses to supporting particular industries
• examine how investment priorities might change as we recover from COVID-19 and move to a ‘new normal’, and what this might mean for future dividend policies

Register here

Register for our upcoming webinars

> Financial services sector: Five-part series
Starting on July, 14th | 1.00 PM to 2.30 PM

Together with HSBC we are hosting a series of webinars which will look at how board directors can better oversee their companies’ climate transition strategies. These will address the needs of non-executive directors of banks and (re)-insurance companies and will include a range of senior speakers who will share their insights, learning and experience.

Click here for more information about the series

> Physical Climate Risk: how non-executive directors can put this on the boardroom agenda
Tuesday, July, 28th | 1:00 PM – 2:30 PM

Acclimatise, a specialist advisory and analytics firm focused on physical climate risks, has partnered with law firm Minter Ellison to write a guidance for Chapter Zero’s non-executive director community. The guidance provides a set of key questions that non-executive directors can use to hold informed and strategic discussions around physical risks. The guidance also provides a concise overview of the current state of the science regarding climate change.

Register for the launch

Click here to view the full list of our on-line events planned for 2020. Several more are under development.

Please bear in mind that our events are for Chapter Zero members only. If you forward our communications to colleagues, please make them aware that our events are designed for chairs and non-executive directors and only members should register for them.

June webinars now available on demand

> Climate Risk and the role of the Board 

This webinar explored the implications of climate change across all sectors and how to ensure appropriate board oversight of the management of climate-related risks.

Watch the webinar

During the webinar, GARP launched the results of the Second Annual Global Survey of Climate Risk Management at Financial Firms. 

Amongst other questions, GARP asked firms to specify whether their approach to climate risk management was ‘responsible,’ ‘responsive’ or ‘strategic,’ with each category corresponding to different levels of maturity. Just over half of respondents described their approach to climate risk as ‘strategic,’ while more than 90% of the firms aim to have a strategic approach in the next five years (see figure 2). To read the survey click here.

Resources available to you

Chapter Zero curates the latest in thought-leadership on the topic of climate and the impact on your business. Click here for the easy to use summary of the most recent publications from third parties added to our website repository.

Board moves

Please let us know of any changes to your board appointments so that our records are kept up to date by emailing climate@chapterzero.org.uk