The Government Office for Science has published a new report
showcasing the economic opportunities from climate adaptation for
the UK.
The report, Economic Opportunities of Climate Adaptation for
the UK, examines how
growing demand for climate adaptation goods and services could
support economic growth, strengthen resilience and
position UK businesses to
compete in a rapidly expanding global market.
Climate change is already affecting the UK. During the record-breaking heatwave
of 2022, temperatures exceeded 40°C for the first time, causing
disruption to transport networks, pressure on healthcare services
and wider impacts across the economy. As climate risks continue
to increase, demand for products and services that help
communities, infrastructure and businesses adapt is expected to
grow significantly.
The report estimates that cumulative global spending on
climate adaptation could be around £3.5 trillion over
the next decade. This presents a growth opportunity
for innovative solutions prepared to meet the complex
challenges of building resilience.
Importantly, as the new report
highlights, the UK is
not starting from scratch. It identifies 648
adaptation-related solutions already being provided by
UK firms across sectors
including infrastructure, engineering, data and analytics,
finance, insurance and professional services.
Government Chief Scientific Adviser, Professor Dame
said:
As climate impacts become more frequent, adaptation is
becoming a necessity. This report shows that it can
also be an economic opportunity. The UK already has world-leading expertise in
areas such as climate-risk analytics, insurance, engineering and
advisory services. With the right ambition and investment, we can
build resilience at home while helping UK businesses capture a share of a
rapidly growing global market.
The report concludes by highlighting the key challenge
areas for the UK to
realise the upper bounds of the market sizing
forecast. These include establishing clear
standards, mobilising capital, building evidence in
what interventions work, and strengthening routes to export
markets for UK products.
Read the Economic Opportunities of
Climate Adaptation for the UK
