The Institute of Faculty Actuaries (IFoA) and University of Exeter have launched a climate risk tool that aims to address the discrepancy between climate projections and policy outcomes. The tool looks to provide a comprehensive overview of current and projected risks up to 2050 across climate, nature, society and the economy. This should help investors and other entities build their “situational awareness” of the risks associated with exceeding planetary boundaries, the two bodies said. “If implemented, this risk-led methodology would provide a clear tool for policymakers to avoid the catastrophic impacts that could be experienced if we do not change course, thereby supporting future prosperity,” said Sandy Trust, an IFoA council member. The IFoA and University of Exeter have warned that the world is on a temperature pathway of at least 2°C by the mid-century. Their research has predicted a possible 25% loss of global GDP by 2050, rising to 50% between 2070 and 2090. “Our dashboard communicates how the risk of planetary insolvency has been escalating over time,” said Professor Tim Lenton from the University of Exeter’s Global Systems Institute. “We want this to be an easily accessible, regularly updated resource that decision-makers can turn to. It can help us all see the urgency of the situation and inspire action to get humanity on a more sustainable path.”
