Regulation

Bank of England boss suggests regulation should factor in net-zero climate goals

Bailey heralds new approach for PRA after Sunak asked regulator to take account of the government's climate goals

Andrew Bailey, governor of the Bank of England.
Andrew Bailey, governor of the Bank of England. Photo: Getty Images

The Bank of England should bear in mind climate goals like reaching net-zero carbon emissions when it regulates markets, governor Andrew Bailey has said.

Under current legislation, the main objective of the Prudential Regulation Authority — the Bank's regulatory arm —  is to ensure the stability of financial markets. It is also tasked with protecting insurance policyholders and ensuring effective competition between firms where possible.

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