News Article - 23 September 2008
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Taking action on climate change, like accounting for carbon emissions, can have a large impact on business value, according to a new report.

Climate Change: a business revolution, by the Carbon Trust, is based on research from McKinsey & Co and claims that corporate social responsibility on climate change issues can create opportunities for businesses, but inaction creates risks.

How a company is affected will depend on how well its business plans can deal with the move to a low-carbon economy, with opportunities to increase value by 80 per cent or the risk of losing 65 per cent of value.

"Climate change will cause a revolution in business and our findings should act as a trillion dollar wake up call to the investment and business communities," said the trust's chief executive, Tom Delay.

"Companies and investors that prepare now and develop new strategies will reap the commercial rewards of the move to a low carbon economy.

"The financial risks of inaction are just too vast to ignore."

Advice is also provided in the report, with businesses told to include climate change in their main strategy and investment decisions.

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