Building resilience to climate, geopolitical and economic shocks will require a shift from short-term efficiency to longer-term preparedness, with private capital playing an increasingly important role.
That was a central theme of Guernsey Finance’s Sustainable Finance in Action: Private Capital event in London, which brought together experts from the sustainability, defence, funds and fiduciary sectors.
Keynote speaker Lieutenant General (Retd) Richard Nugee (pictured) highlighted the links between climate change and national security.
“Climate change is a threat to our collective security and the security of our nations. Climate change is a geopolitical issue every bit as much as it is an environmental one.
“Please make no mistake: climate change is the biggest threat to security that modern humans have ever faced.”
He warned of growing vulnerabilities in food systems, supply chains and critical infrastructure, calling for a shift from a “just in time” philosophy to a “just in case” approach that prioritises resilience.
He argued that strengthening resilience could also create investment opportunities, with environmental, economic and defence objectives increasingly aligned.
A panel discussion explored how private capital and family wealth could support long-term sustainability while delivering financial returns.
Neil Chadwick, Director of Global Operations at sustainability consultancy Oxycarbon, explained how carbon reduction projects could also benefit local communities through employment, training and infrastructure investment.
“It’s not bad to want a return on your money. It’s great to be able to do good at the same time,” he said.
Panel moderator Justin Sykes highlighted growing interest in investment strategies offering “a more holistic return”, while Chris Moorcroft, Partner at Harbottle & Lewis, pointed to changing attitudes towards family wealth.
He described “a massive growth in the idea of family wealth needing to have a purpose, a meaning”, encouraging families to consider the question: “What is the wealth for?”
Kerrie Le Tissier, an Independent Governance and Fiduciary Consultant, highlighted Guernsey’s ability to adapt its legal and regulatory framework to changing investment priorities.
“We are a small independent jurisdiction. We’re able to be very agile in terms of our legislation, regulation and thinking,” she said.
Closing the event, Sally Rochester, from the States of Guernsey’s Committee for the Environment & Infrastructure, emphasised the island’s potential role in directing private investment towards infrastructure, nature regeneration and climate-related projects.
“Investors ultimately need practical mechanisms through which essential private capital can flow. Ambition needs structures, ideas need governance, and capital needs a trusted framework through which it can be deployed effectively and responsibly. And this is probably the clearest articulation of Guernsey’s value proposition.”
