London Daily

Focus on the big picture.
Saturday, Oct 31, 2026

Britain’s climate leadership unravels under Rishi Sunak

Britain’s climate leadership unravels under Rishi Sunak

UK fails to pay climate finance funds on time, as new prime minister takes over amid turmoil in London.

Britain has failed to pay out more than $300 million it promised to two key climate funds, leaving it facing further international embarrassment in the final days of its stint as the world's official climate action leader.

The missing payments, which were pledged to help poor countries cope with climate change, raised eyebrows in Egypt, which takes over the presidency of U.N. climate talks from the U.K. when the COP27 summit opens on November 6.

“We know that everybody is facing challenges when it comes to finance, but at least deliver on what was pledged,” said Mohamed Nasr, a senior Egyptian diplomat. “And the expectation is that you will have another round of pledges” at COP27.

After months of political vaudeville, the U.K. risked blowing the global goodwill it built up by hosting last year's COP26 talks in exceptionally challenging times, observers warned.

Britain's new Prime Minister Rishi Sunak won’t attend the next edition of the U.N. climate talks in Sharm El-Sheikh, focusing on “pressing domestic commitments” instead. Sunak's office indicated on Monday that he could change his mind, with no final decision having been made.

“Is it essentially squandering that huge investment in U.K. soft power by not following it up?” asked Nick Mabey, the head of the E3G think tank and an independent adviser to the COP26 presidency. "Sunak's number one job is rebuilding U.K. reputation in the world, because we are a laughing stock … The climate is probably the most high-profile role we have. So it's a bad move, not going to COP."

Sunak’s predecessor-but-one Boris Johnson apparently agrees. The Observer reported over the weekend that he planned to go to Egypt. It could be argued that Johnson sees COP26 as a key part of his prime ministerial legacy — albeit one he failed to mention in his valedictory speech on leaving office. It would also draw a strong distinction between his priorities and Sunak’s.

The stay-at-home leader joins King Charles on the bench, after the climate-conscious monarch was reportedly told not to go by Sunak’s predecessor Liz Truss. (She, to complete the circle, was going to attend, before she quit.) Then on Friday, Environment Secretary Thérèse Coffey said the king's attendance was "up to him," only for the prime minister's office to say, finally, that the king was definitely not going to Egypt.

The hokey cokey continued this past week when COP26 President Alok Sharma was dropped from Sunak’s Cabinet, also ending his job as domestic climate czar. British Climate Minister Graham Stuart also left the Cabinet.

Sharma told the Sunday Times he was “pretty disappointed” by Sunak’s decision. “I think it does send a signal — if the prime minister was to go — about our renewed commitment on this issue,” he said.

The COP26 climate talks in Scotland last year were billed as a coming out party for post-Brexit Global Britain and the conference was seen as a moderate success. It helped to rekindle support for efforts at the highest levels of international leadership. Back when Boris Johnson was prime minister, the U.K. set itself some of the world's toughest climate goals.

Downing Street said the U.K. remained “committed to net zero and to leading international and domestic action to tackle climate change.”

But Labour leader Keir Starmer said: "Britain showing up to work with world leaders is an opportunity to grasp. Not an event to shun." Shadow Climate Secretary Ed Miliband said it was a "massive failure of leadership."

In further bad news for Britain's COP26 legacy this past week, the U.N. delivered its scorecard on a U.K.-brokered deal, under which countries agreed to come up with improved climate plans before COP27.

Major emitters like China failed to heed the demand for new targets that would significantly lower global temperatures. Just 26, mostly small, countries have acquiesced, shaving a tiny fraction off projections for emissions in 2030.

The U.K.'s failure to make its climate finance payments will be acutely embarrassing for British diplomats preparing to head to Egypt.

The U.K. missed its September deadline for a promised $288 million to the Green Climate Fund (GCF), the fund confirmed to POLITICO. A $20.6 million pledge to the Adaptation Fund is also still to be paid.

Both funds provide cash for climate projects in the developing world. Board notes from a recent GCF meeting said three projects had been put on hold due to a “lower volume of contributions from contributors than was anticipated.”

Successive hits to the U.K. balance sheet have seen the country cut its overseas aid budget from 0.7 percent of GDP to 0.5 percent. The London government also diverted climate finance cash to buy weapons for Ukraine, a minister said in June.

A spokesperson for the U.K. Foreign, Commonwealth and Development Office did not confirm whether or not the missing pledges had been used for Ukraine. British officials plan to update the GCF board on the U.K.'s payment schedule as soon as possible.

The churn at the top level of government as successive ministers and prime ministers cycled through in recent weeks has made decision-making difficult. FCO officials held talks with the Treasury about the payments under previous administrations, another U.K. official said, but new ministers are now in post and the show must begin all over again.

Newsletter

Related Articles

0:00
0:00
Close
Department for Science, Innovation and Technology Prepares Enhanced Artificial Intelligence Safety and Cyber Defense Frameworks
United Kingdom Government Expands International Sanctions Framework Against Russian Shadow Fleet and Financial Enablers
Institute of Directors Reports Sharp Post-Budget Drop in Business Confidence Despite Long-Term Investment Intention Shifts
Chancellor John Healey Defends Sweeping Fiscal Adjustments and Household Support Packages Following Autumn Budget
Parliamentary Petitions Committee Schedules Major Legislative Debates on Special Educational Needs and Non-Stun Meat Labelling
Regional Devolution and Good Growth Fund Frameworks Reshape Local Government Funding Across English Regions
Loughborough University Economic Analysts Highlight Substantial Uncertainty Surrounding Public Sector Efficiency Savings
British Legal Sector Drives Sixty Billion Pounds in Annual Economic Output While Employing Over Half a Million Professionals
Law Society Welcomes New Better Regulation Executive While Pressing for Long-Term Legal Aid Funding Reform
Metropolitan Police and Security Services Heighten Operations Across London Ahead of Large-Scale Public Demonstrations
Bank of England Economists Scrutinize Corporate Tax Adjustments and Public Sector Borrowing Pressures
Chancellor John Healey Defends Autumn Budget Tax and Spending Allocations Following Intense Parliamentary Scrutiny
Department for Environment, Food and Rural Affairs Implements Strict Water Quality Monitoring Rules Following Severe Rainfall and Flooding
Welsh Government Unveils Comprehensive Regional Housing Strategy to Address Rural Affordability and Homelessness Pressures in Cardiff
Office for National Statistics Reports Slowing Consumer Price Inflation and Steady Retail Performance Across United Kingdom Markets
Northern Ireland First Minister Michelle O'Neill and Deputy First Minister Emma Little-Pengelly Advance Cross-Border Infrastructure Agreement in Belfast
Competition and Markets Authority Launches Formal Investigation Into Artificial Intelligence Partnerships Involving Major Technology Corporations
Scottish First Minister John Swinney Secures Cross-Party Support for Devolved Budget Framework and Renewable Energy Expansion
High Court Rules in Favor of Environmental Campaigners Over Department for Energy Security and Net Zero Licensing Procedures
National Health Service England Announces Major Digital Modernization and Artificial Intelligence Diagnostic Rollout Across Regional Trusts
Bank of England Monetary Policy Committee Signals Cautious Approach to Interest Rate Cuts Amid Persistent Wage Growth and Inflation Pressures
British Prime Minister Keir Starmer and Chancellor Rachel Reeves Outline Strategic Infrastructure Plans to Boost Regional Growth and Private Investment
Water pollution remains high despite £5bn investment
Regional Economic Divergence and Industrial Transformation
Technological Sovereignty and Regulatory Scrutiny
Fiscal Consolidation and Public Service Pressures
Automotive Industry Leadership Warns of Imminent Supply Chain Disruptions Following Recent European Trade Negotiations
High Court Delivers Landmark Ruling Affirming Strict Legal Protections for Corporate Data Privacy Against State Surveillance
Welsh First Minister Eluned Morgan Secures Additional Funding for Regional Transport Infrastructure and Rail Modernization
Scottish First Minister John Swinney Announces Major Green Energy Infrastructure Investment Package for Aberdeen
Department for Work and Pensions Proposes Sweeping Welfare Reforms to Incentivize Long-Term Unemployed Back into Work
Competition and Markets Authority Launches Formal Investigation into Artificial Intelligence Partnerships Involving Major Tech Giants
United Kingdom Foreign Secretary David Lammy Concludes High-Level Strategic Talks in Washington on Middle East Security
National Health Service England Unveils Emergency Winter Resilience Plan to Combat Projected Surge in Emergency Admissions
Bank of England Governor Andrew Bailey Signals Cautious Approach to Interest Rate Cuts Amid Persistent Inflation
British Chancellor Rachel Reeves Finalizes Corporate Tax Overhaul Ahead of Autumn Budget to Fund Public Services
Automotive Manufacturers Urge Government Action as High Energy Costs and Global Supply Chain Disruptions Threaten Production
Metropolitan Police Issue Formal Apology Following Inadvertent Release of Confidential Information During High-Profile Investigation
Scottish Finance Secretary Shona Robison Unveils Devolved Budget Highlighting Housing and Public Service Adjustments
Energy Regulator Office of Gas and Electricity Markets Prepares to Remove Household Gas Standing Charges Following Treasury Mandate
Treasury Confirms Reversal of Planned Cash Individual Savings Account Allowance Reduction Protecting Twenty Thousand Pound Limit
Office for Budget Responsibility Revisions Predict Moderate United Kingdom Economic Growth with Elevated Inflation Pressures
Chancellor John Healey Delivers First Autumn Budget in Parliament Highlighting Temporary Bank Surcharge and Cost-of-Living Support
Met Office Issues Extended Forecast Highlighting Stable High Pressure Weather Patterns Across the United Kingdom
Scottish Finance Secretary Shona Robison Outlines Changes to Tax Thresholds and Residential Property Levies in Edinburgh
Financial Markets and Government Bond Yields Remain Stable Following Muted Reaction to Autumn Budget Measures
Defence Committee Chair Tan Dhesi Criticizes Budget for Delaying Critical Defence Spending Decisions to Next Year
International Monetary Fund Forecasts United Kingdom Economic Growth at One Point Three Percent for Year
Office for Budget Responsibility Assesses Fiscal Headroom Reduced to Fifteen Billion Pounds Following Global Energy Shocks
Chancellor John Healey Delivers First Autumn Budget Introducing Household Energy Support and Bank Tax Hikes
×