Government Actuarys Department
Government departments and public sector bodies have been finding out more about climate-related disclosures.
HM Treasury, together with GAD, hosted a roundtable discussion for government departments and public sector bodies to discuss the recommendations of the Taskforce on Climate Related Financial Disclosures (TCFD).
Public sector TCFD
Over recent years, the TCFD framework has been adopted by companies across the economy.
The session, attended by people from 13 different organisations, focused on the challenge of implementing this framework in the public sector.
Annual reports
HM Treasury, supported by the Financial Reporting Advisory Board, has made the decision to implement the TCFD recommendations in central government annual reports. This will be in a phased approach, with full adoption expected in the 2025 to 2026 financial year.
The framework provides more effective climate-related disclosures in annual reports. This promotes better decision-making and enables stakeholders to understand exposures to climate-related risks.
Roundtable discussion
The roundtable covered the scope and implementation timetable for central government and allowed preparers to discuss potential challenges in application and implementation. Attendees also heard presentations by experts from HM Treasury and GAD.
GADs role
Risk management, including the use of climate scenario analysis, is a central aspect of the disclosure requirements, and one where GAD is ideally placed to support departments.
GAD is already working closely with HM Treasury to support its implementation plans for central government.
The Deputy Government Actuary Matt Gurden attended the event and commented: Implementing a TCFD framework across the public sector is an important, but substantial, undertaking.
Over the coming year GADs role will include drafting risk management guidance for the public sector. We will also work with central government departments that are early adopters of disclosure recommendations and other public bodies that are adopting th