A model of trusted accounting and governance is vital for business in the face of increasing climate change

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Climate change is increasingly a business issue for all size of company, both great & small. As we approach COP26, the issues that will affect business and how business will affect the issues will fast come under the lens of government and undoubtedly the scrutiny of HMRC.

It's not just the larger companies with obvious exposure to risk who are already addressing climate factors within their business operations, disclosing these activities transparently and proposing or taking action to mitigate the impact on their footprint and financials.

The smaller company, with modest premises and limited teams, who rely on a short supply chain and a defined market, will also need to consider its operations, its emissions and the impact changes in environment will have on its finances.

This disruptive relationship between climate change and business is already acknowledged and regulation could be a possibility.

It's likely that the key issues will relate to the ability to secure finance and insurance. Energy supply could well be a risk, as well as logistics. There may be disruption to operations, supply chains may be interrupted and growth may be threatened.

However, similar to that which we provide for our charity clients, sound stewardship and robust governance is vital and at the heart of GSM accountancy services. So, in this new environment we will work with all our clients towards tangible and transparent climate governance, extending the management accounting and reporting function, narrowing down risks for them and giving companies the financial tools to benchmark their actions against future recommended norms and providing prudent accounting practices throughout that continue to meet their goals.

No-one quite knows what a net zero UK will look like, but with a well-developed model of trusted accounting and reporting, skilled accountants will be able to benchmark performance against business activities, to inform and allow their client businesses to take appropriate action.

For over 100 years we have enabled our clients' companies to not just cope but thrive in the face of many changes and challenges to build better businesses. We intend to do so for clients over the next 100.

To hear more about the GSM approach to balancing climate change risks with opportunities for your business and activities contact us on 020 7935 3793