Season 6 - Episode 5 - Navigating Climate and ESG Risk Management in a complex and evolving landscape

The Compliance Files

In this week’s episode, Catherine Thornton, Member of Compliance Institute's Prudential, Regulation and Governance Working Group speaks with Sean MacHale, Partner at EY Dublin, Head of Global Sustainable Finance Innovation Hub and Camile Paparelli, Partner EY London, who is the ESG Reporting and Disclosure lead for UK Insurers.

The importance of climate considerations and Environmental, Social and Governance (ESG) Factors are now critical in shaping strategies and operations of Financial Institutions worldwide. As the focus on sustainable practices and ethical governance grows, understanding and implementing ESG regulations including climate considerations has become more important now then ever.

In its February 2025 Regulatory & Supervisory Outlook (RSO) report, the Central Bank of Ireland (CBI) again acknowledged the climate crisis, noting the weakening of earlier net zero commitments and timelines by governments and corporations, and the gap between progress being made against what is needed to slow down climate change deteriorating. With irreversible effects of acting too late a real risk to the very existence of the planet. In this episode, Sean and Camille discuss this broad topic and evaluates how progress of ESG and Climate varies across the 3 key sectors - Banking, Insurance and Funds.