Reflections from London Climate Action Week 2026: Building Resilience in a Changing World

As London experienced one of its warmest Junes on record, more than 75,000 policymakers, business leaders, investors, academics and civil society representatives gathered for London Climate Action Week (LCAW) 2026, which hosted over 1,400 events.

United Nations Secretary-General António Guterres captured the mood, remarking that “London isn’t just calling, it’s cooking.” It was a powerful reminder that climate change is no longer a future challenge, but one businesses, governments and investors are already navigating.

Members of James Hambro & Partners’ Responsible Investment Committee attended events throughout the week, hearing from a wide range of international leaders and influential climate experts.

Amongst the diversity of speakers, there was strong alignment in the themes discussed. The debate has matured, with discussions focused on implementation, resilience, competitiveness and how businesses can manage risk while capturing opportunities from the transition.

Four clear themes emerged consistently

1. Climate change is here now – resilience has become a business imperative

A clear message was that climate adaptation has moved firmly into the mainstream. While reducing greenhouse gas emissions remains essential, governments, businesses and investors increasingly recognise that many impacts are unavoidable and must be managed.

Businesses are already facing disruption from heatwaves, flooding, drought, water scarcity, supply chain interruptions and rising insurance costs, with physical climate risks increasingly influencing valuations and investment returns.

David Shukman, former BBC Science Editor, with more than two decades covering climate science and negotiations, noted that the question is no longer whether climate change is happening, but how quickly societies, businesses and investors can adapt. His message was one of practical optimism: understanding risk matters but building resilience will determine economic success.

Emma Howard Boyd CBE, former Chair of the Environment Agency and now Chair of the National Heat Risk Commission, led the London Climate Resilience Review, following the London floods of 2021 and record 40°C temperatures in 2022. This assesses the capital’s preparedness across transport, housing, healthcare, water, energy and infrastructure.

One key recommendation was launched during the week, notably, Heat Ready London, the city’s first dedicated Heat Plan. The strategy includes expanding urban greening, creating cooling spaces, strengthening infrastructure and protecting vulnerable communities during extreme heat. It marks a shift from reacting to climate events to preparing for them.

Emma Pinchbeck, Chief Executive of the Climate Change Committee, and Chris Stark CBE, Head of Mission Control for Clean Power 2030, both stressed that adaptation and resilience must sit alongside decarbonisation, with the UK still underprepared for many physical impacts.

For investors, resilience is becoming a key measure of business quality and durable returns.

2. Solutions are scaling – but delivery must accelerate

While physical climate risks featured more prominently this year, there was also strong optimism. Renewable energy, battery storage, electric vehicles and heat pumps are proven, increasingly cost competitive and scaling rapidly. The challenge is now speed and delivery.

Al Gore argued that the transition has reached a tipping point. Clean energy is increasingly driven by economics rather than environmental ambition. As costs fall and investment grows, the transition is becoming harder to reverse because markets are reinforcing it.

John Kerry, former US secretary of state, agreed that the challenge is no longer finance or technology, but deployment. He described the transition as a race defined by “speed, sovereignty and sustainability”, reflecting its importance for competitiveness, industrial strategy and national security.

This focus on delivery was echoed throughout the week. António Guterres also highlighted methane reduction as one of the fastest ways of slowing global warming, urging the fossil fuel industry to fix leaks and eliminate routine flaring.

Carl Trowell of National Grid highlighted the importance of the UK’s “Great Grid Upgrade”- a programme of 17 major transmission infrastructure projects which will modernise and expand the UK’s electricity network to connect more renewable energy and strengthen energy security. Clean energy, data centres and AI all depend on strong transmission and distribution networks.

Investment levels reflect this shift. The International Energy Agency expects global energy investment to reach around US$3.3 trillion in 2026, with about US$2.2 trillion directed towards clean energy – almost double fossil fuel investment. During the week, Ed Miliband announced that more than £100 billion of private-sector investment has been committed to clean energy since the current Government took office.

Alongside Heat Ready London, Transport for London marked its 3,000th zero-emission bus, creating the largest fleet in Western Europe. The UK also announced a new Climate Security Taskforce, recognising climate change as a growing national security issue.

For investors, the transition is no longer a niche theme. It is reshaping capital expenditure across utilities, infrastructure, engineering, technology and manufacturing, with advantage likely to accrue to businesses that can execute at scale.

3. Climate, nature, inequality, water and food systems are inseparable

There was clear recognition that climate change cannot be viewed in isolation. Discussions consistently highlighted the interconnected nature of climate, biodiversity, water security, food systems and human wellbeing.

Businesses depend upon reliable supplies of fresh water, healthy soils, pollination, forests, oceans and stable climatic conditions. As these systems come under pressure, operational disruption, resource scarcity and financial risks.

Mary Robinson, former President of Ireland and Chair of The Elders, stressed importantly that climate action must deliver positive outcomes for people and communities, reinforcing that the transition must be environmentally effective and socially inclusive.

Tanya Steele, Chief Executive of WWF-UK, highlighted the increasing importance of biodiversity within business strategy. She highlighted China for its commitment to restoring natural capital. Alongside becoming the world’s largest investor in renewable energy, China is developing what will become the world’s largest National Park System, recognising that biodiversity conservation, water security and ecosystem restoration form part of long-term national resilience.

The same message was reflected across discussions on water and food systems. Industries from agriculture and semiconductors to pharmaceuticals, mining, textiles and power generation all depend upon reliable access to water. Healthy soils, ecosystems and biodiversity underpin agricultural productivity, while forests and wetlands help regulate climate and reduce flood risk.

For investors, this reinforces why sustainability analysis must extend beyond climate alone. Understanding how businesses manage nature-related risks, resource dependencies and protect supply chains provides valuable insight into long-term business quality.

4. The sustainability transition presents one of the defining investment opportunities

Whilst much of the focus was on risks, there was an equally strong sense of optimism about the investment opportunities emerging which extend far beyond renewable energy generation. Electricity networks, battery storage, digital infrastructure, industrial innovation, resource efficiency, climate adaptation technologies and resilient infrastructure are all expected to attract significant long-term investment.

His Majesty King Charles III, through the Sustainable Markets Initiative, once again emphasised the importance of collaboration between governments, finance and business in mobilising private capital. No single organisation or sector can deliver the transition alone, and long-term partnerships will be essential.

For investors, these trends reinforce that sustainability should not be viewed as a separate investment theme. Instead, it provides an important part of the investment process through which to identify solid, innovative businesses capable of creating strong shareholder value over the long term.

JH&P’s sustainability framework

Leaving London Climate Action Week, there was a clear sense of optimism, but equally a recognition that implementation must continue to accelerate. The technologies largely exist, investment is increasing and businesses are increasingly demonstrating practical solutions. The challenge now is delivering them quickly enough to build more robust economies.

The discussions throughout the week closely reflected JH&P’s five-pillar sustainability framework. Rather than considering climate change in isolation, our approach recognises that long-term business quality is shaped by a broad range of interconnected sustainability issues. Climate resilience, natural capital, resource efficiency, human welfare and governance all influence how successfully businesses manage risk, allocate capital and adapt to structural change.

Ultimately, London Climate Action Week reinforced that sustainability is no longer a specialist area of investing, but a central lens through which to assess long-term business quality. As the global economy adapts, understanding these interconnected risks and opportunities will become increasingly important in identifying the resilient businesses that will shape tomorrow’s economy.

By Nicola Day, Partner, Portfolio Manager

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