The UK has fallen nearly 40% behind on its pledge to rapidly scale up climate finance for developing countries, according to Carbon Brief analysis.
A freedom-of-information (FOI) request reveals that, rather than rising steadily to meet a target of £11.6bn over five years, UK climate spending overseas has fallen for two years in a row.
It is now around £2bn off track – assuming there should have been even progress towards the goal.
Boris Johnson’s government, with current prime minister Rishi Sunak as chancellor, committed in 2019 to ramping up its international climate finance (ICF) in order to reach a target of £11.6bn between the financial years 2021/22 and 2025/26.
The figures obtained by Carbon Brief show that UK spending has dipped from £1.56bn in 2020/21 to £1.47bn in 2021/22 – and around £1.36bn in 2022/23.
The numbers for 2022/23 are described in the FOI release as “provisional”, but the total sum is similar to one recently reported by the Guardian, based on leaked civil service documents.
Carbon Brief understands that the government’s figures for that period could be revised upwards when the final numbers are released, but are still likely to fall short of the £11.6bn trajectory.
The government would now have to roughly double its recent annual spending over the next three years, on average, if it is to stand any chance of delivering its pledge.
The UK is facing mounting pressure to provide more money to help vulnerable nations deal with climate change. Yet the government has slashed its overall budget for foreign aid, citing economic pressures at home. It has also redirected some of its foreign-aid spending towards the domestic processing of asylum-seekers.
Climate-finance experts tell Carbon Brief that the current shortfall is “troubling”, adding that it will now be “highly challenging” for the UK to achieve its goals without strong political will.
£11.6bn pledge
Former prime minister Boris Johnson announced in 2019 that the UK would spend £11.6bn on ICF between the financial years 2021/22 and 2025/26.
This has since been reinforced by his successor, Rishi Sunak, who told leaders at the COP27 climate summit in 2022 that he “profoundly believe[s] it is the right thing to do”.
The target doubled the government’s previous five-year pledge to spend “at least £5.8bn” on tackling climate change between 2016/17 and 2020/21 – a goal that has been achieved.
Both targets make up the UK’s contribution to a wider promise by all developed countries, as part of the Paris Agreement, to ramp up climate finance for developing countries to $100bn a year by 2020. Three years on, these nations are still yet to reach this target.
Without significantly increased climate finance, developing nations say they will not be able to transition to low-carbon economies and protect their people from climate hazards.
The UK’s climate finance spending has been under intense scrutiny in recent years.
First, the government slashed its overall development aid spending from the UN-backed benchmark of 0.7% to 0.5% of gross national income (GNI), citing the economic shock of Covid-19. Climate projects are among the many under threat from cuts.
Since then, the expansion of military aid to Ukraine and diversion of foreign aid to support refugees arriving in the UK have sucked up more of the shrinking resource pool.
In July, the Guardian reported on a leaked civil service briefing for ministers, explaining why the combination of these factors would justify dropping the £11.6bn goal altogether. The government has denied that it intends to drop the pledge.
Responding to a written question on 17 July, development minister Andrew Mitchell confirmed that the UK had spent “over £1.4bn” on ICF in 2021/22. However, he did not share data for 2022/23 or plans for spending out to 2025/26.
FOI requests
Carbon Brief submitted FOI requests to the three government departments responsible for running climate-related development projects: the Foreign, Commonwealth and Development Office (FCDO); the Department for Environment Food and Rural Affairs (Defra); and the now-defunct Department for Business, Energy and Industrial Strategy (BEIS).
They provided data on ICF spending between 2011/12 and 2022/23, although Defra withheld its 2022/23 data, stating it was “yet to finalise” it. Both the other departments provided this data, with the caveat that the figures were “provisional”.
(For in-depth analysis of more than a decade of climate finance spending, see Carbon Brief’s full analysis.)
The annual totals, broken down by financial year, can be seen in the chart below. (Spending by Defra, which makes up roughly 3% of total climate finance, has been estimated for 2022/23 based on the average spend over the previous five years.)
Annual ICF spending has more than tripled since the UK started officially providing it in 2011. However, as the data obtained by Carbon Brief shows, for the past two years it has been in decline, pushing the £11.6bn goal further out of reach.

If the £11.6bn target had been split evenly over the five years covered by the pledge, the UK would have spent £2.32bn annually on climate finance between 2021/22 and 2025/26.
So far, however, the government has fallen far short of this, spending £1.46bn in 2021/22 and just £1.36bn in 2022/23. This amounts to a £1.81bn – or 39% – shortfall over the two-year period, relative to even progress towards the £11.6bn goal.
If the government is still to meet its £11.6bn target, climate finance would have to more than double to £2.92bn in 2023/24 and stay that high until 2025/26 – an unprecedented increase.
The 2022/23 figure obtained by Carbon Brief aligns with the Guardian’s reporting on a leaked civil service document, which “confirmed” that ICF spend for 2022/23 was £1.35bn – and expected to rise to around £1.59bn in 2023/24.
Despite this confirmation, Carbon Brief understands that, when the final spending total for 2022/23 is released, it could be higher.
Jonathan Beynon, a senior policy associate at the Center for Global Development who, until 2022, worked for FCDO on climate finance and other issues, tells Carbon Brief this could be achieved in part by reclassifying more funds within existing foreign aid projects as climate-related. Again, this was mentioned in the leaked document.
A government spokesperson tells Carbon Brief that “the government remains committed to spending £11.6bn on international climate finance and we are delivering on that pledge”, adding that “we will publish the latest annual figures in due course”.
‘Shockingly low’
All of this means that the £11.6bn target is slipping out of reach, according to former Conservative FCDO minister Zac Goldsmith, who resigned from government in June, citing its “apathy” towards climate change and the environment. He tells Carbon Brief:
“Technically, [the target] does remain government policy, but the shockingly low levels of expenditure make it a mathematical impossibility that the promise can be kept. Among beleaguered and hard-working civil servants this is an open secret and well understood. Indeed, the only way the promise can be kept is if the next government in its first year spends well over 80% of all its bilateral spending on climate, which clearly cannot happen with all the other important commitments we have.”
Clare Shakya, a climate finance expert at the International Institute for Environment and Development (IIED), tells Carbon Brief it would be “highly challenging” for the government to “double the level of spending in a year and still ensure the projects and programmes it was supporting were of good quality”.
Faten Aggad, a climate diplomacy expert and adjunct professor at the University of Cape Town, agrees that it is “doubtful” the UK government would prioritise climate spending with its current economic outlook and a general election looming. She tells Carbon Brief:
“Engagements of the current government also show that the commitment to the climate agenda is not as strong as one might have hoped. So I would be surprised to see the spending doubled.”
However, Beynon tells Carbon Brief a “backloaded trajectory” – where spending started off relatively low and then increased more towards the end – was always envisaged for the five-year £11.6bn target period. (This is confirmed in the Guardian’s reporting, which says the government’s internal target for ICF spending in 2022/23 had been £1.77bn.)
He notes that the same pattern can be seen in the previous five-year target period, which still resulted in the goal being successfully met. A slow start can reflect the time taken for new climate projects to be set up and developed.
That said, Beynon adds that he would have expected an “uplift” by 2022/23, so the trend continuing downwards would be “troubling”. As for whether the target can still be achieved, he says:
“The short answer is: it’s possible, but it’s challenging…Primarily because of the wider context – the cuts in ODA [official development assistance] and the decision to choose to spend a good chunk of that ODA on hosting refugees.”
While developed countries are technically allowed to spend some of their aid budget on housing refugees, the UK spent an unusually high amount – around 30% – on this in 2022, to accommodate people arriving from Ukraine and Afghanistan. Only three nations, none of them major aid providers, spent higher proportions of their development aid in this way.
Experts tell Carbon Brief that, depending on the government in charge and how much they prioritise international development, the target could still be achieved.
“The goal is certainly within reach if the political will is there to achieve it,” Saleemul Huq, director of the International Centre for Climate Change and Development (ICCCAD) in Bangladesh, tells Carbon Brief.
The Treasury has confirmed that foreign-aid spending will likely not be restored to 0.7% of GNI until at least beyond 2027/28, if the Conservative government remains in power – two years after the £11.6bn deadline. The opposition Labour party has said it will examine a “pathway back to 0.7%” over the course of the next parliament, if it wins the upcoming general election.
Beynon says that, with such widely publicised targets in place, climate-related development spending has, in his view, been “relatively protected”, compared to other areas of development aid that have felt the impact of cuts.
At the recent G20 summit in India, Sunak announced a pledge of £1.62bn in climate finance to the Green Climate Fund (GCF), described by the government as a “major contribution” towards its £11.6bn commitment.
Yet given the wider state of UK climate finance, Goldsmith says the prime minister, or chancellor Jeremy Hunt, would need to “personally intervene” to bring the UK back on track for the goal. Goldsmith criticises Sunak for “pretending we are on course when [he knows] we simply are not”.
Experts warn that a failure to scale up climate finance would seriously threaten the UK’s international reputation. Shakya says:
“If the UK does not meet its own promised contributions, this will not only impact the UK’s standing, but also whether any rich countries can be trusted.”
In less than two months, Sunak will travel to COP28 in Dubai where there will once again be significant pressure placed on developed countries to meet their existing climate-finance pledges – as well as raise the bar higher in the coming years.
The post Analysis: How the UK has fallen 40% behind on its £11.6bn climate-finance pledge appeared first on Carbon Brief.
Analysis: How the UK has fallen 40% behind on its £11.6bn climate-finance pledge
Climate Change
New Zealand moves to protect business with law curtailing climate litigation
New Zealand’s parliament has adopted a controversial new law blocking a whole avenue of climate litigation and shutting down its most advanced corporate lawsuit, which has been blamed by the government for shaking business confidence and investment.
The Climate Change Response (Tort Liability) Amendment Bill, expected to take effect in the coming days after it is formally signed by the Governor-General, prevents all current and future civil claims for climate loss or harm under tort law.
Justice minister Paul Goldsmith said last week that the aim was to give businesses “certainty around their climate change obligations”, noting it would not alter the government’s responsibilities under the Climate Change Response Act 2002 nor business obligations under the Emissions Trading Scheme.
“Our response to climate change is best managed by the Government at a national level and not through piece-meal litigation in the courts,” he added in a statement.
Such litigation, he said, “risks developing a new regime that contradicts the framework Parliament has already enacted” to tackle climate change.
Goldsmith singled out a key domestic climate lawsuit brought by Northland iwi leader and activist Mike Smith against six big companies: dairy firms Fonterra and Dairy Holdings, energy firms Genesis Energy and Z Energy, New Zealand Steel and coal mining firm BT Mining. A seventh original defendant, Channel Infrastructure, was dropped after it permanently decommissioned its Marsden Point oil refinery.
Smith argued that these companies had caused him harm under public nuisance and negligence law, as well as a third breach of a duty to cease contributing to climate change that has yet to be tested domestically. He did not seek financial compensation, instead asking for the companies to immediately stop emitting or contributing to net greenhouse gas emissions.
In one of the most advanced corporate climate accountability lawsuits in the world, a trial had been scheduled for April 2027 after the Supreme Court unanimously allowed the case to continue.
Corporate lobbying in the shadows
Smith described the passing of the bill as “deeply concerning”, particularly as it coincided with the Supreme Court hearing another of his climate lawsuits. In that case, Smith v Attorney-General, he argues that the government’s response to climate change and its impacts on Māori communities in particular breaches rights to life and culture.
“That timing raises profound questions about the separation of powers and the rule of law,” said Smith. “Whatever one’s view of the merits of these cases, it is deeply troubling when parliament intervenes to remove a legal pathway while the courts are actively considering fundamental questions about climate responsibility, rights and the crown’s obligations.”
The bill – which says that no person (including the government) can be found liable in tort for emissions-related climate change effects – followed major lobbying efforts by the companies defending themselves in Smith’s lawsuit. They outlined a proposed legal amendment in a briefing note to the government in 2024.
The centre-right government has been fiercely criticised over its lack of transparency in relation to this lobbying activity. The national ombudsman recently found that the Prime Minister’s Office effectively withheld information requested by the Environmental Law Initiative about meetings, discussions and conversations regarding Smith’s case.
Green groups fail to stop bill
The bill sparked huge concern among environmental campaigners in New Zealand and elsewhere. Greenpeace Aotearoa called it a “shocking abuse of executive power” and the vast majority of submissions to a parliamentary inquiry said it should be rejected.
But in the end, it was adopted with little resistance, moving relatively smoothly through parliament, passing its third reading by 67 votes to 53. Sam Bookman, climate law lecturer at Melbourne Law School, told Climate Home News he was not surprised by this, given that the coalition government has a secure majority.
A complaint has been made to the UN special rapporteur on climate change and human rights by Smith, the National Iwi Chairs Forum Pou Tikanga and youth coalition Climate Clinic Aotearoa over what they see as the government’s heavy-handed approach. Smith is also challenging the new law in yet another lawsuit.
“Pathetic”: New Zealand plans to barely cut emissions between 2030 and 2035
Bookman thinks it “very unlikely” that such a challenge will succeed, noting that New Zealand’s constitution is firmly anchored in parliamentary sovereignty.
But the expert in climate law does not see the bill as the end of legal action in the country, noting that New Zealand has a “sophisticated climate litigation landscape with a growing number of specialist and experienced lawyers and NGOs”.
The country is also approaching its next general election in November, and some opposition parties have pledged to restore access to the courts if elected.
Amanda Larsson, global project lead on agriculture for Greenpeace International, said: “This law deserves to be tested, and I strongly encourage the international climate litigation community to unite and help defend New Zealanders’ fundamental right to hold polluters accountable before this becomes a global blueprint.”
Copycat legislation on the rise
New Zealand’s move is part of a small but growing legislative effort to shut down climate litigation around the world.
In the US, Republican politicians introduced legislation in the House and Senate in April that would shield fossil fuel firms from climate liability lawsuits. Similar laws have already been passed at state level in Tennessee, Utah, Iowa and Louisiana.
The German state of Bavaria has put forward a similar proposal to the Federal Council, aiming to block private climate claims as well as the recognition and enforcement of foreign judgments imposing such liability. There are also proposals to limit available remedies and actions in the Netherlands and Belgium.
UN General Assembly backs “climate obligations” set by world’s top court
Bookman said he expects more efforts to counter climate damages litigation and advised plaintiffs to think about how to respond, including drawing on broader support in opposing them.
“Even though it’s very hard for plaintiffs to win these types of cases, companies are very eager to avoid the expense, embarrassment and political accountability that come even with unsuccessful lawsuits,” he said.
The post New Zealand moves to protect business with law curtailing climate litigation appeared first on Climate Home News.
New Zealand moves to protect business with law curtailing climate litigation
Climate Change
Indonesia’s nickel production cuts are not enough to create a sustainable industry
Bhima Yudhistira Adhinegara is the Executive Director of the Center of Economic and Law Studies (CELIOS), an Indonesia-based economic think tank. Muhammad Zulfikar Rakhmat is the Director of the China-Indonesia desk at CELIOS.
Indonesia produces around 60% of the world’s nickel, a metal used to manufacture batteries for electric vehicles (EVs) – more than any other country in the world. But in 2026, the government sharply reduced how much of its nickel can be extracted from the ground.
Production quotas were reduced by around 40% this year compared to 2025. Weda Bay, the largest nickel mine on Earth, had its allowance cut by more than 70% and exhausted its full-year quota by the end of May, halting mining entirely; it cannot resume large-scale extraction until next year unless regulators grant an extension.
The policy has sparked a vivid debate in Indonesian policy circles: how can the country shift its strategy from a decade of mining vast quantities of cheap nickel to producing a high-value and low-carbon material that the rest of the world wants for EV batteries.
The cuts aren’t a silver bullet to clean up Indonesia’s nickel industry, whose smelters are powered by coal – the most polluting fossil fuels. But alongside stricter enforcement of environmental rules, it is one side of efforts to produce more sustainable nickel for a premium.
Restricting Indonesia’s nickel output
Production quotas were introduced to stop the collapse of nickel prices because of oversupply in the market. Prices had fallen more than 40% in 2023 alone and kept sliding as Indonesian supply kept growing, hitting a four-year low of around $13,900 a ton in late 2025.
Critics called the recent tightening of production quotas proof that Indonesia’s nickel strategy has failed, arguing that the industry shouldn’t need to throttle its own output to survive. But when assessed against what the policy was supposed to do – push up nickel prices – it has worked. Prices jumped to $20,000 a ton in May, the highest since 2024.
Chinese industry groups representing companies that have invested billions to mine and refine the country’s nickel were furious, warning Indonesia’s president Prabowo Subianto that the cuts put $50 billion worth of investment at risk. But much of that Chinese capital is sunk into smelters and processing plants built specifically to run on Indonesian ore, and cannot simply be moved elsewhere. That gives Jakarta more room to hold its ground than the warning suggests.
Stronger environmental enforcement
Since the start of the year, Indonesia’s forestry task force has seized more than four million hectares of land from mines and plantations operating illegally in protected forests, collecting over two trillion rupiah ($113 million) in fines.
This included 148 hectares seized from Weda Bay for lacking a forestry permit. The share of nickel produced from illegal small-scale mining also fell from about a quarter in 2022 to roughly 10% by 2024.
The crackdown responds to serious environmental damages in the nickel industry. On Obi Island, a waste pond collapsed after heavy rain in June 2025, flooding three villages and killing a resident. Internal company tests found chromium-6 – a carcinogen – in the water, in quantities far above the legal limit. The footprint of another mine near Raja Ampat, which is home to some of the world’s richest coral reefs, grew 60-fold in just eight years.

The market is responding to early cleanup efforts. Low-carbon nickel now sells for a real premium, roughly $18,800 to $19,300 a ton compared with $17,900 to $18,300 otherwise, as carmakers seek to source cleaner materials to comply with the European Union’s new emissions rules for imports.
In turn, this is incentivising the industry to do more to green its operations. Vale Indonesia’s smelter in South Sulawesi now runs almost entirely on hydropower, for example.
None of this addresses coal use, however. Major Indonesian nickel producers still emitted an estimated 15 million metric tons of greenhouse gases in 2023. Indonesia may be cracking down on illegal mining and rewarding cleaner producers but it is still running its mines on the dirtiest fuel available.
Unequal benefits
For Indonesia to truly benefit from producing cleaner and high-value nickel, it needs to reap the economic benefits too. Although the industry has boosted the country’s economic growth, the reality on the ground tells a different story.
Konawe in Southeast Sulawesi is home to a major smelting complex. Growth in the district jumped from 6% to 22% between 2015 and 2023, driven almost entirely by the nickel industry, according to a study by the Lowy Institute study. At the same time, poverty levels increased slightly and unemployment remained unchanged.
In Halmahera, another epicentre of the nickel industry, spending by the poorest fifth grew just 5% between 2019 and 2022, compared with 28% for the wealthiest fifth, according to a separate study.
Part of the reason for this inequality is the system for transferring mining royalties to district authorities where the mines are located. In theory, they are entitled to the largest share. But in practice, payments are delayed, companies routinely dispute what they owe and royalties are pooled and distributed across a larger area.
The Natural Resource Governance Institute has found that decentralisation handed local governments power to approve new mines faster than they could build their capacity to manage them. Higher output raises national income on paper, but local governments remain constrained by fiscal rules and infrastructure costs that scale with mining.
None of this makes the 2026 quota cuts a mistake. Indonesia has every right to defend its pricing power over a resource it controls. But limiting extraction isn’t going to fix underlying issues around environmental enforcement and revenue-sharing. That requires rules that are consistently enforced, royalties that reach communities living by the mines, and a plan to wean smelters off coal.
The post Indonesia’s nickel production cuts are not enough to create a sustainable industry appeared first on Climate Home News.
Indonesia’s nickel production cuts are not enough to create a sustainable industry
Climate Change
Risk of “catastrophic” oil spill reaching Kimberley coast found in Woodside’s Scott Reef gas drilling plans
SYDNEY, Monday 24 August 2026 – New analysis of Woodside modelling released by Greenpeace Australia Pacific and Environs Kimberley has revealed the oil and gas corporation’s plans to drill at Scott Reef could cause an oil spill up to 30 times bigger than the 2009 Montara disaster, impacting the Kimberley coastline and reaching as far as Indonesia.
The new analysis details the “catastrophic” oil spill risk put to environmental regulators for approval by Woodside in its Browse to North West Shelf Project (Browse) plans, the worst-case scenario being a blowout directly below Scott Reef, polluting whale migratory pathways and covering isolated turtle nesting ground with oil condensate.
An FOI application (F348) revealed the federal environment department (DCCEEW) asked offshore oil and gas regulator NOPSEMA to look into the oil spill risk in 2025. NOPSEMA’s response to the application refused access to its report, and one document shows DCCEEW sought further advice this year.
Greenpeace and Environs Kimberley are calling on the Federal Government to publicly release the NOPSEMA report given the risk of an uncontrolled release of oil condensate from directly below Scott Reef.
Hannah Schuch, Senior Campaigner at Greenpeace Australia Pacific, said: “Woodside is aware that drilling at Scott Reef risks a massive oil spill that would have severe, far-reaching consequences. It appears environmental regulators are aware too.
“The state and federal governments need to take this risk from Woodside’s drilling plans seriously, as they could end up allowing the worst oil spill in Australian history.
“The pygmy blue whales that migrate up and down the WA coast with their newborns each year could be swimming and feeding in toxic, oil-slicked water. Woodside’s proposal to drill at Scott Reef is an environmental disaster waiting to happen, and the WA and federal governments have one surefire way to prevent catastrophe — reject Browse.”
Martin Prichard, Executive Director at Environs Kimberley, said: “A catastrophic oil spill by Woodside would be disastrous not just for marine life in the area but also for the Kimberley’s $500 million tourism industry.
“The state and federal governments will see five marine parks on the Kimberley coast included in the risk area of a catastrophic Woodside oil spill.
“The Montara oil spill was disastrous for West Timor with the toxic oil destroying seaweed farmers’ livelihoods. The Kimberley dodged a bullet with Montara, we were lucky the spill didn’t head our way. Myself and a crew flew over the Montara oil spill and followed it as far as we could. It was like a scene from a disaster movie.”
After the WA Environmental Protection Authority deemed Browse “unacceptable” due, in part, to oil spill risk, Woodside submitted a mitigation plan based on technology that has never been used “in anger”, a weakness stated in an independent expert review of the plan.
Professor Richard Steiner, independent oil spill expert, said: “A large offshore spill is impossible to effectively contain or recover. Historically, only 2-6% of total spill volume is recovered and the ecological injury from the release of toxic hydrocarbons in the sea can be severe, extensive, and long-term.
“Here in Alaska, government research concludes that several marine populations injured by the 1989 Exxon Valdez oil spill, including whales, fish, and seabirds, are still not recovering today, 37 years later. We should expect similar long-term ecological impacts in Western Australia if there were to be a major oil spill. The only sure way to avoid the risk of a catastrophic marine oil spill is to not develop oil and gas projects in marine environments.”
-ENDS-
Media contact
Emma Sangalli on emma.sangalli@greenpeace.org or 0431 513 465
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