News

In this week’s public policy bulletin, we take a look at the latest economic update from the Parliamentary Budget Office as well as examining recent trends in the private rental sector as reported to the Joint Oireachtas Committee on Housing by the RTB this week. In addition, we review the Quarter 2 earnings and labour cost statistics from the CSO as well as assessing current levels of consumer confidence in Northern Ireland as set Danske Bank’s latest Consumer Confidence Index. Parliamentary Budget Office issued economic update post-Budget This week the Parliamentary Budget Office (PBO) issued its latest economic update providing an overview of recent economic trends seen in the Irish economy following the introduction of Budget 2023. Noting how inflation is currently at record levels with wages and retail sales falling in real terms (i.e. by adjusting for inflation), these factors “will act as a drag on the economy in 2023” despite the overall economic growth seen in 2022. Indeed, while noting that the economy is currently performing well, the PBO signalled that “clouds are on the horizon” as inflation, which was initially driven by high energy prices but now has spilled over to other items, continues to grow unabated. According to the report, 76 percent of the items in the CPI basket are now experiencing more than 2 percent inflation.  Joint Oireachtas Committee on Housing examines recent trends in the private rental sector with Residential Tenancies Board   On Tuesday members of the Joint Oireachtas Committee on Housing met with representatives from the Residential Tenancies Board (RTB) to discuss the findings of the RTB’s 2022 rental survey. While the results of the survey are yet to be published, RTB chairperson Tom Dunne nonetheless shared some interesting preliminary results arising from the survey. The 2022 results show that most small landlords (94 percent) are part time landlords that do not manage properties as their primary occupation with a quarter of small landlords surveyed stating that they are either likely or very likely to sell their rental properties in the next five years. In addition, the survey also found that many property owners, tenants, and agents alike found the regulatory framework and changing legislation around rental properties increasingly difficult to navigate and understand. Central Statistics Office issues Quarter 2 earnings and labour costs The Central Statistics Office (CSO) this week issued its Earnings and Labour Costs results in respect of quarters 2 and 3 2022. Preliminary estimates for Q3 2022 show average weekly earnings in the Republic were €864.32, an increase of 3.2 percent compared with €837.61 in Q3 2021. Meanwhile, average weekly earnings rose by 12.4 percent over three years from €769.14 in Q3 2019 (pre-COVID-19) to €864.32 in Q3 2022. Average hourly other labour costs increased by 60.7 percent across all economic sectors to €4.13 from €2.57 in Q3 2021. A significant factor in this increase was the ending of the Employment Wage Subsidy Scheme (EWSS) on 31 May 2022, explained Louise Egan, Statistician in the CSO’s Earnings Analysis Division.   According to the results, the sectors with the highest average hourly total labour costs were the Information & Communication sector (€49.51 per hour) followed by the Education sector (€43.24 per hour). Notably, the sectors with the highest job vacancy rate in Q3 2022 were Professional, Scientific & Technical Activities (3.8 percent), followed by the Financial, Insurance & Real Estate Activities (2.8 percent). Consumer confidence decreases in Northern Ireland According to a report issued this week by Danske Bank, consumer confidence in Northern Ireland decreased again in the third quarter of 2022 as higher prices continued to squeeze household finances. Over half of respondents (56 percent) believed their finances had deteriorated over the last year with 63 percent of respondents expecting their financial position to worsen over the next year reflecting a dampened optimism amongst consumers. In terms of the factors influencing these sentiments, 47 percent of those surveyed identified the overall impact of higher prices on their household incomes as being the most influential. By contrast, 13 percent of people pointed to global risks (such as the ongoing war in Ukraine) as impacting their sentiment while 11 percent of respondents highlighted concerns around post-Brexit trading arrangements as having the most bearing.

On 28 November the Ulster Society hosted a webinar addressing the issue of sustainability, how businesses are shaping a sustainability strategy, delivering operational change and meeting their reporting obligations. This webinar provided an overview of the challenge, and some first-hand case studies of businesses who are taking significant steps on the sustainability journey. Speakers included Keith Scott, NI Water; Derarca Dennis, EY Ireland; Shane O'Reilly, KPMG Sustainable Futures; David Smith, Kilwaughter Minerals Limited. A recording of this webinar is available to view, for free and on-demand, HERE A copy of Shane's slides is available to view HERE A copy of David's slides is available to view HERE A copy of Keith's slides is available to view HERE A copy of Derarca's slides is available to view HERE

  In this week’s bulletin we bring you news that the Temporary Business Energy Support Scheme is now available for registration. Also read about how 200 businesses are taking part in a free trial of fully electrical commercial vehicles, new funding is available to address employment, economic, social and environmental impacts in the Midlands, the proposal for a Constitutional referendum to protect biodiversity, new circular economy measures, and the usual articles, podcast and event recommendations. Available now: Temporary Business Energy Support Scheme The Temporary Business Energy Support Scheme, which will assist eligible businesses with their electricity or natural gas (energy) costs during the winter months, is now open for registration. Under Revenue’s guidelines, businesses wishing to avail of the scheme must tick a box declaring that they have completed a carbon footprint exercise and are taking steps to reduce energy use and environmental impact. In our short Ask the Expert interview with Joe Borza, CEO and founder of Irish company Energy Elephant, you can discover how to measure your carbon footprint, reduce emissions and make better energy decisions. Read more from our colleagues in the Tax Team. 200 businesses to take part in trial of fully electrical commercial vehicles 200 businesses nationwide are to take part in a trial of fully electrical commercial vehicles (EV) to see how they can save their business money and emissions. Participating businesses will have the use of a free EV for three months, along with the option to install an EV charger. The Commercial Fleet Trial, launched this week by Department of Transport and the Sustainable Energy Authority of Ireland (SEAI), will be co-ordinated by Zero Emissions Vehicles Ireland (Zevi), a one stop shop for information on grants, initiatives, and information to support the public, industry, and businesses in making the switch to zero emission vehicles. In a further announcement this week, Iarnród Éireann is to order 90 new battery-electric train carriages for delivery in 2026 to facilitate the expansion of the existing DART service. Funding to address employment, economic, social and environmental impacts EU funding of close to €169 million has been secured to support the Midlands region, it was announced this week. The funding aims to address the address employment, economic, social and environmental impacts that come with the transition from peat production and electricity generation from peat. It will target the generation of new green jobs, enterprise stimulus, an increase in sustainable tourism, restoration of damaged peatlands and alleviation of the economic impacts of the transition to climate neutrality. East Galway, Kildare, Laois, Longford, north Tipperary, Offaly, Roscommon and Westmeath will all benefit from the fund, which will come from the EU's Just Transition Fund. Constitutional referendum proposed to protect biodiversity A Citizens Assembly on Biodiversity Loss has voted to change Ireland’s Constitution with a view to protecting biodiversity. The proposed constitutional referendum would recognise nature as a holder of legal rights, comparable to companies or people. The Assembly on Diversity Loss, the first such assembly held anywhere in the world, took place across several months in 2022 and concluded on 27 November. The work of the Citizens Assembly will continue into January 2030 when there will be final votes on sectoral recommendations on biodiversity loss. (Find out more about biodiversity and business.) Ireland’s circular economy measures – funding and deposit return scheme Funding of €1.5 million was announced this week for Circuléire, the national platform for circular manufacturing. The funding aims to foster and enhance circular economy knowledge, capacity building and implementation by Irish industry, and will be available from 2023. The announcement comes amid news of the launch of a  Deposit Return Scheme (DRS), which aims to encourage people to recycle their drink containers by refunding them money when they return any returned plastic bottles or cans. All producers and retailers are legally obliged to register with Re-turn, which will operate the scheme, and registration is now open.  The scheme itself with go live in February 2024.  (Find out more about the circular economy) Support among young people for taxes on emitting-activities, ESRI research finds EPA-funded research of youth in Ireland aged 16-24 has found that young people judge environmental action to be urgent, that they are willing to change their lifestyles and that they want stronger pro-climate policies. Many support bans and taxes on activities that cause harmful emissions. The study, which focused on knowledge and beliefs about climate change mitigation (reducing harmful greenhouse gas emissions) was conducted by the ESRI in March 2022 and is the first of its kind in Ireland. Resources Webinar: How can the accounting profession be an agent of change? (ICEAW Climate Summit – registration required) Podcast: The Director General of the EPA, Laura Burke, speaks to Daniel Murray (5 Degrees of Change) Recording and slides from 'The Sustainability Journey: Responsibilities, Strategy and Reporting' webinar (Link)    Articles Brian Keegan's article notes that the cash flow benefit of the Temporary Business Energy Support Scheme far outweighs any terms and conditions. One particular item to watch for is that any monies received are not tax-free. (Irish Examiner). New ‘green VAT’ rates would raise more tax, reduce emissions, researchers claim (Irish Times) Get ready for a net zero business backlash (Irish Times) Australia’s banks likely to reduce lending to regions and sectors at risk of climate change impacts, regulator says (Guardian) Jobs Financial/Reporting Accountant for major energy provider in Ireland’s Energy/Sustainability/Renewables sector. Newly qualified ACAs can contact Dave Riordan, Careers Team, Chartered Accountants. Upcoming events Introduction to Sustainability Reporting....the basics Seán O'Reilly (NI CPD Blitz), 8 December A4S Summit, bringing together leaders in finance for discussion, insight and action to explore the trends shaping our world and the practical actions that can be taken to build a resilient, sustainable economy, 13-15 December Biodiversity COP15 Part 2, 7-19 December You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.

In this week’s Public Policy bulletin, we take a look at the latest economic assessments from both the Fiscal Advisory Council and Central Bank as well as the Government’s launch of the first ever National Hub Summit for remote working. In addition, we examine this week’s latest statistical releases from the Northern Ireland Statistics and Research Agency on 2021 business performance and levels of youth unemployment as well as a significant judgment from the Court of Justice of the EU on the validity of public beneficial ownership registers.  Fiscal Advisory Council publishes latest Fiscal Assessment Report  The Irish Fiscal Advisory Council (IFAC) this week published its latest Fiscal Assessment Report “A Budget in Time of Inflation” in which it assessed the Government’s Budget 2023 in terms of the broad fiscal stance, the economic and budgetary forecasts, and Ireland’s overall compliance with fiscal rules. Noting how Ireland’s economic growth had slowed considerably during 2022, the Council acknowledged that while Irish economic activity continues to expand in cash terms, inflation had weakened real incomes. With Budget 2023 now forecasting gross national income growth of just 0.4 percent in 2023, this marks a significant contraction from projected GNI growth of 5 percent this year, and actual growth 15 percent last year. Despite this however, IFAC’s report was broadly supportive of the Government’s budgetary strategy, observing how it struck the "appropriate balance between protecting vulnerable households and avoiding inflation". Central Bank increases capital buffer in response to global financial conditions In its second Financial Stability Review of 2022, the Central Bank this week announced an increase in the Countercyclical Capital Buffer (the level of reserves banks must keep) in response to the tightening of global financial conditions and what it sees as “increased downside risks given the size of the energy and inflation shock” in Ireland. Consistent with previous guidance, the Counter-Cyclical Capital Buffer rate will now increase to 1 percent marking a further step towards the gradual rebuilding of the buffer rate to 1.5 percent.   In addition, new rules for Irish property funds will also be introduced which will limit the amount of borrowed finance in these funds to 60 percent. Launch of National Hub Summit to promote and expand remote working in rural areas  Minister for Rural and Community Development, Heather Humphries TD, this week made a series of announcements in support of remote working as she launched the first ever National Hub Summit in Athlone.  The summit brought together businesses, hub managers, remote workers and and policy makers, less than 18 months after the launch of the Connected Hubs platform to further develop the Government’s expansion of its remote working initiative. The Connected Hubs online platform was originally launched by the Government in May 2021 to allow people to choose from a network of remote working hubs and hot desks around the country from which they could work. Speaking at the launch of the summit, Minister Humphries announced that a new pilot scheme that will match employers and employees to specific hubs will be launched in the New Year. The scheme will introduce the concept of ‘anchor tenants’ and the use of Connected Hubs as a ‘second workplace’ for staff. In addition, funding of up to €50,000 has been granted to all local authorities outside of Dublin so that they can market their towns and villages as destinations for people who want to move to rural Ireland. Moreover, the Minister signalled her intention to explore the idea of encouraging companies to provide a stipend to remote workers to cover the costs associated with using the Connected Hubs platform. More than 10,000 people will have registered with the Connected Hubs network by the end of the year. Northern Ireland Annual Business Inquiry Statistics 2021 released The Northern Ireland Statistics and Research Agency (NISRA) this week released headline results from its 2021 Northern Ireland Annual Business Inquiry survey. Outlining how the economy experienced “higher than usual growth” year on year between 2020 and 2021, the NISRA noted how the major economic impact of Covid-19 restrictions during 2020 should be borne in mind when assessing the 2021 figures. Some of the key findings reported include: Total aGVA was estimated to be worth £30.6 billion at basic prices in 2021 - representing a rise of 19.4 percent (£5.0 billion) compared to 2020. Turnover for NI businesses increased by 13.6 percent between 2020 and 2021 to £77.1 billion, while the cost of purchases of goods, services and energy increased by 10.5 percent to £48.7 billion over the same period. The key driver of aGVA growth was in the NI Non-Financial Services sector which increased by £1.8 billion (17.9 percent) between 2020 and 2021.  The majority of aGVA growth in this sector is attributable to the Transport and Storage section which increased by £581 million (39.4 percent). Retail and Wholesale trade within the Distribution sector recorded aGVA growth of £868 million (14.4 percent) over the period in question. aGVA in the Production sector increased by £1.1 billion (15.5 percent) from 2020 to 2021. The key driver in this was the Manufacturing section, which recorded aGVA growth of £891 million (18.2 percent). There was also an increase in aGVA in the Construction sector of £1.2 billion (47.5 percent) between 2020 and 2021. Northern Ireland Labour Force Survey – Young People Not in Education, Employment or Training (NEET) In its latest batch of statistics derived from its quarterly Labour Force Survey, the NISRA estimates that there were approximately 17,000 young people aged 16 to 24 years in Northern Ireland who were not in education, employment or training (NEET) in the period July to September 2022. This was equivalent of 8.8 percent of all those aged 16 to 24 years in NI. According to the survey, the NEET rate among males aged 16 to 24 was 8.3percent and among females was 9.2 percent in July to September 2022 while the number who were NEET increased from the previous quarter by 2,000 and decreased by 7,000 over the year. In July to September 2022 there were an estimated 11,000 young people aged 16 to 24 years who were not in education, employment or training and who were not looking for work and/or not available to start work (economically inactive). The remainder of those who were not in education, employment or training were looking for work in the previous four weeks and available to start within the next two weeks (unemployed).  Court of Justice of the EU rules public beneficial ownership registers ‘invalid’ In a significant judgment issued this week, the Court of Justice of the EU (CJEU) held that the provision of the anti-money-laundering directive whereby EU Member States must ensure that the information on the beneficial ownership of corporate and other legal entities incorporated within their territory is accessible in all cases to any member of the general public is invalid. According to the Court, the general public’s access to information on beneficial ownership constitutes a serious interference with the fundamental rights to respect for private life and to the protection of personal data as enshrined in Articles 7 and 8 of the EU Charter of Fundamental Rights. On foot of the judgment, both Luxembourg and the Netherlands on Wednesday closed their public beneficial ownership registers. The CJEU this week issued a press release on the content of its judgment. 

  In this week’s bulletin we bring you a final round-up from COP27, news of measures to address windfall gains in Ireland’s energy sector, a consultation on electricity storage, ISIF’s announcement of a €50m initiative to promote female-led investment firms and the fastest growing global ‘green jobs’. Also included is news from Northern Ireland’s Environmental Benchmark Survey, the UK Transition Plan Taskforce publication of its Disclosure Framework and Implementation guidance, and the usual articles, podcast and event recommendations. A round-up from COP27 - ‘A down-payment on climate justice’ The two-week long international climate summit concluded in Egypt on Sunday 20 November, with a final agreement, the ‘Sharm el-Sheikh Implementation Plan’ creating a loss and damage fund for countries vulnerable to the effects of climate change. Read a round-up of COP27 achievements here. Measures to address windfall gains in Ireland’s energy sector Measures are to be introduced to address windfall gains in the energy sector, it was announced this week. Through the implementation of Council Regulation (EU) 2022/1854, the Irish Government is to place a cap on all market revenues of non-gas electricity generators, with excess revenues collected and used to support electricity consumers. Proceeds from the cap on market revenues are expected to be collected in 2023, with proceeds from the temporary solidarity contribution to be collected in 2023 and 2024. Consultation on electricity storage policy for Ireland The Department of the Environment, Climate and Communications has opened a consultation to gather the views of interested parties to inform the development of an electricity storage policy for Ireland. The consultation is part of a suite of measures being undertaken by the Government to support the delivery of Ireland’s renewable energy targets and Ireland’s security of supply. Closing date for submissions is 5.30pm on Friday, 27 January 2023, and full details can be found here. ISIF announces €50m initiative to promote female-led investment firms The Ireland Strategic Investment Fund (ISIF), which is managed and controlled by the National Treasury Management Agency (NTMA), has announced its ambition to invest a minimum of €50 million over the next two years through private equity firms that are majority-owned by women. By establishing an ambition for investing in female-led investment opportunities, ISIF is seeking to demonstrate its commitment to addressing gender inequality and promoting greater diversity at senior levels – both within ISIF and in the companies and funds in which it invests. IFAC warns of need to properly cost climate change measures Ireland’s budgetary watchdog the Irish Fiscal Advisory Council (IFAC) has warned that the expected costs of climate change and other policy initiatives need to be properly costed and factored into long-term risks to public finance. The report, Fiscal Assessment Report, November 2022, which published this week, warns that reducing greenhouse gas emissions ­- urgently required to mitigate dangerous climate change - will potentially lead to sizeable costs which have not yet been determined. Irish Government’s funding programme for social inclusion, community energy, and social enterprise projects Minister for Community Development and Charities, Joe O’Brien, T.D., has announced over €44 million in 2013 for the Social Inclusion and Community Activity Programme (SICAP), which supports communities and individuals to engage with relevant stakeholders in identifying and addressing social exclusion and equality, developing the capacity of Local Community Groups and creating more sustainable communities.   Other funding announced included a new €10 million fund – the Community Support Fund – to support thousands of local community and voluntary groups with their energy bills, and up to €1.5 million in funding for 34 Social Enterprise projects nationwide under the Scaling Up Fund. Sustainability webinar from Chartered Accountants Ireland Ulster Society – 28 November   Chartered Accountants Ireland Ulster Society is holding a webinar on 28 November 12.30-2.00pm looking at 'The Sustainability Journey - Responsibilities, Strategy and Reporting'. The line-up of expert speakers include Keith Scott (NI Water), Derarca Dennis (EY), Shane O'Reilly (KPGM Sustainable Futures) and David Smith (Kilwaughter Minerals Ltd), who will address the issue of sustainability, how businesses are shaping a sustainability strategy, delivering operational change and meeting their reporting obligations. This webinar will provide a great overview of the challenge, and some first-hand case studies of businesses who are taking significant steps on the sustainability journey.    UK Transition Plan Taskforce publishes Disclosure Framework and Implementation guidance The UK’s Transition Plan Taskforce (TPT) has published its Disclosure Framework and accompanying Implementation Guidance, launching a ‘Sandbox’ for companies and financial institutions to test implementation. Launched by  HM Treasury in April 2022, the TPT has a two-year mandate to develop the gold standard for private sector climate transition plans in the UK. It will inform and build on international disclosure standards. The UK Government and the Financial Conduct Authority are actively involved and will draw on the TPT’s outputs to strengthen disclosure requirements across the UK economy. The Disclosure Framework and Implementation Guidance are open for public consultation until 28 February 2023. IPCC factsheets released Temperatures will rise in all European areas, alongside the frequency and intensity of hot extremes, including marine heatwaves, it was reported in factsheets produced by the Intergovernmental Panel on Climate Change (IPCC), the United Nations body for assessing the science related to climate change.  Other high-level key messages noted in the factsheet for Europe included sea-level rise in all European areas except the Baltic Sea, and an increase in the intensity and frequency of extreme sea-level events, leading to more coastal flooding. There are factsheets for regions and for specific sectors, from agriculture to water resources management.   Compliance manager fastest growing ‘green job’ LinkedIn Economic Graph has published a new report into the skills needed for the world’s economies to address the threat of climate change. The Global Green Skills Report 2022 provides new data on green skills and jobs from all across the world. Among the fastest growing green jobs identified between 2016 and 2021 is ‘Sustainability Manager’, which saw an annual growth of 30 percent, and ‘Compliance Manager’ which grew by 19 percent. From our colleagues in Professional Accounting EFRAG submitted first set of draft European Sustainability Reporting Standards (ESRS) to the European Commission. Accountancy Europe published some FAQs on key changes that Corporate Sustainability Reporting Directive (CSRD) will bring. The UK Financial Conduct Authority announced the formation of a group to develop a Code of Conduct for ESG data and ratings providers. The Association for Financial Markets in Europe (AFME) in collaboration with EY published ‘ESG and the Role of Compliance’ on how compliance functions can support firms managing regulatory ESG-related risks.  Resources Podcast: The Director General of the Environmental Protection Agency, Laura Burke, speaks to Daniel Murray (5 Degrees of Change) Tool: Climate TRACE Coalition is new independent inventory of greenhouse gas emissions. Launched at COP27, Trace combines satellite data and AI to show the facility-level carbon and methane emissions of over 70,000 sites around the world, including companies in China, the United States and India. Article: SustainabilityWorks – Scaling the Solution  Upcoming events Webinar - Chartered Accountants Ireland Ulster Society - The Sustainability Journey - Responsibilities, Strategy and Reporting' (28 November)   Biodiversity COP15 Part 2, 7-19 December You can find information, guidance and supports to understand sustainability and meet the challenges it presents in our online Sustainability Centre.  

  The two-week long international climate summit has at last concluded in Egypt, with the gavel going down on a final agreement  on Sunday, 20 November 2022. The ‘Sharm el-Sheikh Implementation Plan’ creates a loss and damage fund for countries vulnerable to the effects of climate change.  Seen as an important win for climate justice, the plan was described as a landmark moment in global climate politics, one that acknowledges that the world’s richer countries – and biggest carbon emitters – are responsible to the developing world for the harm caused by global warming. Speaking about the agreement,  Ireland’s Minister for Transport, the Environment, Climate and Communications, Eamon Ryan, TD, who led the loss and damage negotiations for the EU, admitted that while the outcome was not perfect, it was both historic and progressive: “This is not perfect. The EU would have liked it to have gone further and faster. However, what makes this a good deal is that it is an agreed deal. It is a signal of trust between the 198 parties to the UNFCCC that we are serious about climate change and that we are serious about protecting the most vulnerable countries and communities.” The wording in the agreement is that countries will “establish new funding arrangements for assisting developing countries that are particularly vulnerable to the adverse effects of climate change, in responding to loss and damage”. A transnational committee with representatives from over 24 countries will be established to decide which countries are vulnerable, where the money is to come from (i.e. which countries, and which sources - existing funding arrangements like debt relief or ‘innovative sources’ like taxes on fossil fuels). The committee, which have a co-chair from a developing country and a co-chair from a developed country, will report back at COP28, and the Santiago Network will provide technical assistance on how loss and damage can be addressed. “We have struggled for 30 years on this path and today, in Sharm El-Sheikh, this journey has achieved its first positive milestone,” said Pakistan Climate Minister Sherry Rehman. “The establishment of a fund is not about dispensing charity. It is clearly a down-payment on the longer investment in our joint futures.” Pakistan suffered monsoon flooding in 2022 that left more than 1,700 dead and caused at least $30 billion in losses. The disaster prompted Pakistan’s Prime Minister Shehbaz Sharif to warn world leaders at the UN General Assembly in September 2022 that “what happened in Pakistan will not stay in Pakistan,” a stark acknowledgement that climate change will not spare other countries the sort of disaster that left up to one third of his country underwater and millions of its citizens at risk from water-borne diseases. Although attempts at a row-back of commitments made at Glasgow at COP26 last year were resisted, a phase down of fossil fuels was not included in the agreement, much less a ‘phase out’, as had been called for. No new targets on emissions reduction targets were introduced in the agreement. Nor did the text include any references to IMF relief to fund carbon-reduction projects to help fund the $4 trillion required for investment in renewable energy annually until 2030, or the $5.6 trillion needed by developing countries to meet their climate goals, or any credible roadmap to double adaptation finance.  The latter would require changing the business models of multilateral development banks and international financial institutions, according to UN secretary general António Guterres. “They must accept more risk and systematically leverage private finance for developing countries at reasonable costs.” However, the agreement included the statement “[The world’s nations] call on the shareholders of multilateral development banks (MDBs) and international financial institutions to reform practices and priorities, align and scale up funding ... and encourage MDBs to define a new vision that [is] fit for the purpose of addressing the global climate emergency.” The agreement also created a two-tier carbon market, which has drawn criticism from campaigners who accuse it of creating a risk of greenwashing by countries wishing to purchase credits to fulfil net zero pledges but without making any substantial reductions to their own emissions. Further criticism centres around the fact that governments can designate as ‘confidential’ any information about carbon trades between countries. The agreement also made official that a decision on a new climate finance goal will be delayed until 2024. Rich countries have delayed delivering the $100 billion promised by 2020 to help developing countries reduce emissions and adapt to the effects of climate change.   Countries agreed to develop a work programme on the global goal of adaptation set out in the Paris Agreement. This goal specified enhancing capacity, strengthening resilience and reducing vulnerability to climate change and ensuring an adequate adaptation response. However, there was concern felt at the low levels of finance available for adaptation. Round-Up of COP27 Achievements High-Level Expert Group on the Net-Zero Emissions Commitments of Non-State Entities: launched first report, Integrity Matters: Net Zero Commitments by Businesses, Financial Institutions, Cities and Regions: focusing on greenwashing and weak net-zero pledges; roadmap to bring integrity to net-zero commitments by industry, financial institutions, cities and regions and to support a global, equitable transition to a sustainable future.   CDP (formerly the Carbon Disclosure Project) the not-for-profit which runs the global environmental disclosure platform for corporations, will incorporate the International Sustainability Standard Board’s (ISSB) IFRS S2 Climate-related Disclosures Standard [IFRS S2] into its global environmental disclosure platform. This is a major step towards delivering a comprehensive global baseline for capital markets through the adoption of ISSB standards.   Executive Action Plan for the Early Warnings for All initiative: calls for initial new targeted investments of $3.1 billion between 2023 and 2027, equivalent to a cost of just 50 cents per person per year.   Climate TRACE Coalition: new independent inventory of greenhouse gas emissions, combining satellite data and AI to show the facility-level carbon and methane emissions of over 70,000 sites around the world, including companies in China, the United States and India.   The Breakthrough Agenda: a ‘master plan’ to accelerate the decarbonization of five major sectors – power, road transport, steel, hydrogen, and agriculture – through 25 new collaborative actions to be delivered by COP28.   Food and Agriculture for Sustainable Transformation initiative or FAST: to improve the quantity and quality of climate finance contributions to transform agriculture and food systems by 2030. This was the first COP to have a dedicated day for Agriculture, which contributes to a third of greenhouse emissions and should be a crucial part of the solution. The Sharm El-Sheikh Adaptation Agenda: outlines 30 Adaptation outcomes to enhance resilience for 4 billion people living in the most climate vulnerable communities by 2030.   Action on Water Adaptation and Resilience Initiative (AWARe): an initiative that will champion inclusive cooperation to address water-related challenges and solutions across climate change adaptation.   African Carbon Market Initiative (ACMI): aims to support the growth of Africa’s voluntary carbon markets and create jobs in Africa.   The Insurance Adaptation Acceleration Campaign: part of the Race to Resilience, this is a campaign to an effort to mobilise 3,000 insurance companies (equal to 50 percent of the market) by COP28 in 2023.   The Global Renewables Alliance: an alliance to help accelerate the uptake of renewables globally by industry bodies and associations representing key low-carbon technologies such as hydrogen, energy storage, wind and solar.   The First Movers Coalition (FMC) Cement & Concrete Commitment: a collection of global companies committing $12bn to decarbonize the heavy industry and long-distance transport sectors. What’s next? COP15 Part 2 will take place 7-19 December. At this COP – officially titled Conference of the Parties (COP 15) to the Convention on Biological Diversity (CBD) – the parties will review the achievement and delivery of the CBD’s Strategic Plan for Biodiversity 2011-2020. Articles of interest COP27 closes with deal on loss and damage: ‘A step towards justice’, says UN chief (UN News)   What was decided at Cop27 climate talks in Sharm el-Sheikh? (Climate Home News)   UN Adopts Historic Pact on Payments for Climate Damages (Bloomberg)   Cop27: Deal reached to set up fund for developing countries hit by climate crisis (Irish Times)   Cop27 scores on cutting carbon and aiding climate-vulnerable states (Irish Times)   You can find all our COP27 updates, information, guidance and supports to help members understand sustainability and meet the challenges it presents in our online Sustainability Centre.