Ethical and sustainable business is the smartest investment not only for the future of Earth but the long-term profitability and success of businesses that focus on prioritising people, planet and purpose

For too long businesses have been measured solely by their bottom line but the tide is turning. We are witnessing our planet heat up at an alarming rate and the race to limit global warming to 1.5 degrees Celsius is slipping away.

February 10, 2025, marked a pivotal moment for our planet. As we approach the December gathering in Brazil, where countries finalise 2035 climate pledges, the stakes are high. Under the Paris Agreement, nations are required to submit Nationally Determined Contributions (NDCs) every five years and participate in a Global Stocktake (GST) to assess progress in limiting global warming to well below 2°C – with a target of 1.5°C above pre-industrial levels.

The reality is sobering: only 15 of 195 parties to the Agreement met the February 10 deadline to submit plans.

As of February 19, just 17 countries had submitted their updated commitments. If these pledges fail to realign us with the 1.5-degree target, we risk losing the last chance to take decisive action. Without real political courage, this battle will be lost.

While governments may be slow to act, other forces are stepping in to drive change. One unexpected ally in the fight against climate change is the accountant. Regulatory bodies are playing a significant role where political leadership is lacking. The Task Force on Climate-

Related Financial Disclosures (TCFD) has been crucial in encouraging companies to disclose their climate-related risks, including greenhouse gas emissions, as part of their financial reporting.

Though TCFD guidelines are not yet universally mandatory, many businesses and governments are adopting them to increase transparency. As a result, businesses are increasingly required to integrate climate risks and carbon footprints into their reports
In regions like the UK big companies are obligated to disclose climate risks. The........

© Herald Scotland