Connect with us

Published

on

The UK government has reclassified nearly £500m of aid for war-torn and impoverished countries as “climate finance”, in a bid to meet its international commitments under the Paris Agreement.

This follows reports that the UK’s pledge to spend £11.6bn on climate aid between 2021-22 and 2025-26 is slipping out of reach, due to government cuts.

A freedom-of-information (FOI) request by Carbon Brief reveals how, after the reclassification, money for humanitarian work in nations including Afghanistan, Yemen and Somalia is now being double-counted as climate finance to help the UK hit its goal.

The projects being double-counted include work to provide food and basic necessities that have no explicit link to climate action, Carbon Brief’s analysis reveals. Some of their internal reports even state clearly that they are not climate-finance projects.

This is part of a wider revision of climate-finance accounting, introduced by the government in 2023 to ensure the UK achieves its £11.6bn target. 

By redefining existing funds pegged for development banks, investment in foreign businesses and humanitarian aid as “climate finance”, the government expects to add £1.72bn to its total.

Experts tell Carbon Brief it is “problematic” and “unjust” to relabel existing funds as climate finance rather than providing new money. One says the UK could meet its target, at least in part, by “double counting development and climate finance”.

The chair of the Least Developed Countries (LDC) group at UN climate talks says the UK’s actions are a “clear deviation from the path to climate justice”.

‘Moving the goalposts’

The UK government has committed to spending £11.6bn on international climate finance (ICF) between 2021-22 and 2025-26. This is the nation’s contribution to climate action in developing countries, which it is obliged to provide under the Paris Agreement

Developed countries, such as the UK, have committed to sending “new and additional” climate finance to developing countries. This is generally interpreted as spending extra money on top of existing foreign aid.

The UK government itself has described the £11.6bn goal as “dedicated ring-fenced funding that is distinguishable from non-climate [aid]”.

However, reports began to emerge in 2023 that the government was not on track to meet its target.

Experts attributed this to the government cutting its overall foreign aid budget. In November 2020, the government suspended a target to give 0.7% of national income as overseas aid – reducing it to 0.5% as a “temporary measure”. 

The government is also spending more of the remaining funds on supporting refugees within the UK. The latest figures show that in 2023, the UK spent more of its aid budget on supporting asylum seekers and refugees in the country than on overseas projects.

In order to remain on track for the £11.6bn goal, development minister Andrew Mitchell announced in October 2023 that the government was changing the way it calculated ICF spending.

This immediately sparked concerns that the government was inflating its climate-finance figures without providing any new aid money for developing countries. Mitchell provided limited details of how the government was getting its target back on track.

More information came in a report released in February by the Independent Commission for Aid Impact (ICAI). It concluded that, by “moving the goalposts”, the government had reclassified £1.72bn of spending as climate finance between 2021-22 and 2025-26.

This figure includes four tranches of funding that had not previously been considered ICF:

  • £746m from assuming that a share of the “core” funding the UK gives to the World Bank and other multilateral development banks (MDBs) will be assigned to climate-related projects.
  • £497m from automatically labelling 30% of the humanitarian aid spent in the 10% of countries that are most vulnerable to climate change as ICF.
  • An estimated £266m from defining more payments into British International Investment (BII), the UK’s overseas development finance institution, as ICF.
  • £215m from civil servants “scrubbing” the aid portfolio – namely, going back over existing projects and adding any climate-relevant funding they had previously missed.

The figures cited by ICAI are based on unpublished government analysis, which Carbon Brief has now obtained via FOI.

The analysis includes the annual contributions each of these sources are expected to provide over the period from 2021-22 to 2025-26, which can be seen in the coloured sections of the chart below.

The UK government has reclassified £1.7bn of development aid as climate finance
Annual UK ICF spending, £bn, by financial year for the period 2011/12 to 2025/26. The grey area indicates ICF spending under the original accounting methodology used until October 2023. Beyond 2022/23 the figures are forecasts, with the light grey area indicating the upper bound and the darker grey indicating the lower bound. The coloured areas indicate the funding newly reclassified as counting towards ICF, following methodology changes introduced in October 2023. For multilateral development bank contributions, Carbon Brief understands that the UK will pledge £495m to the World Bank in 2025/26, and the remaining contributions that make up the £746m total are spread evenly across the 2011/12-2025/26 period. Source: UK government.

As the chart indicates, even with the methodology changes, the £11.6bn target is still “backloaded”, with a significant uptick in ICF spending required beyond 2023-24 to meet it.

ICAI notes that, since the government cut its aid spending from the UN-backed benchmark of 0.7% to 0.5% of gross national income (GNI), “serious concerns remain over whether the heavily backloaded spending plan can be delivered”.

Core funding

The largest tranche of redefined ICF – some £740m – comes from the government starting to assume that a share of its “core” MDB funding counts as climate finance.

This is money that the UK government already hands to these organisations to distribute according to their own priorities, primarily through loans. None of this money has previously been counted by the UK government as ICF, even though some went towards climate action.

MDBs, including the World Bank, the African Development Bank (AfDB) and others have placed a growing emphasis on climate change in recent years. The World Bank, for example, has a target of spending 35% of its finance on climate-related projects.

Following the reclassification, the UK government will simply assume that 35% of the money it gives to the World Bank – some £495m of £1.4bn total due in 2025/26 – counts as ICF.

It will use a similar approach for its funding of other MDBs, with these changes adding a total of £740m to the amount of the UK’s aid spending that is classified as ICF.

This move will not result in the UK providing any new funds for climate action, as it was already planning on distributing this money. In fact, the government has cut its spending on MDBs in recent years, due to the overall cut in the UK’s foreign aid budget.

Humanitarian aid

The second-largest tranche of newly reclassified climate finance is from projects in climate-vulnerable countries, an additional £497m of which is being counted as ICF.

The government dataset obtained by Carbon Brief via FOI reveals the 28 humanitarian projects and five more general, country-specific funds that will contribute to this additional £497m.

The projects are based in some of the poorest and most war-torn countries in the world – Afghanistan, the Democratic Republic of the Congo (DRC), Somalia, Sudan, Uganda, Yemen and Zimbabwe.

They largely focus on essential provisions, such as food and basic infrastructure.

Prior to the recent changes, these programmes would have contributed just £47.5m to ICF, according to the government data released to Carbon Brief.

By automatically counting 30% of their spend as ICF, this figure has now multiplied more than 10 times. The chart below shows, in red, these additional ICF funds.

The UK government has reclassified £497m of humanitarian aid as climate finance
Annual UK ICF spending, £m, sourced from humanitarian aid projects for the 10% most climate-vulnerable countries, as defined by the Notre Dame Global Adaptation Initiative. Blue columns indicate the ICF spending that was expected from these projects prior to the methodology change, and red columns indicate ICF spending from these projects after the change. Source: UK government.

For the 23 of the 28 projects with documentation available online, Carbon Brief assessed the relevant sections of their “business case and summary” documents for evidence that they were related to climate action.

Many of the project documents reference climate change and say they will provide climate benefits. For example, all four projects in Somalia, a nation that has faced devastating drought and floods in recent years, mention the importance of climate resilience in their work.

However, some of the projects explicitly state that they are not intended to provide climate-finance.

The summary document for the Assurance and Learning Programme (ALP) in Afghanistan, published in 2021, states: “The programme will not be eligible for ICF nor will it monitor ICF funded programmes.”

Similarly, the Congo Humanitarian, Resilience and Protection (CHRESP) Programme summary document, also published in 2021, notes “we do not anticipate that any of our programming under this programme will be eligible as ICF”.

Another project, titled Yemen: Access, Logistics, Liaison, and Accountability, will provide “few opportunities” to address climate change, according to the summary document. A further four project documents do not contain any reference to climate change. 

Despite this, following the government’s reclassification, these seven projects will collectively contribute £166.9m of UK climate finance in the coming years.

Euan Ritchie, a senior development finance policy advisor at the thinktank Development Initiatives, says blanket approaches to assigning climate finance are “problematic”. He tells Carbon Brief:

“Just because humanitarian aid is going to a country that is vulnerable to climate change doesn’t mean it addresses that vulnerability. And these projects have already been screened for their climate focus.”

He points to one of the projects, the Somalia Humanitarian and Resilience Programme, as an example. Ritchie says, based on International Aid Transparency Initiative data, that officials had already decided around 12% of this programme’s spending was ICF, and asks:

“So what rationale is there for bumping it up to 30%? Were officials wrong the first time?”

Fatuma Hussein, a programme manager at the thinktank Power Shift Africa, tells Carbon Brief such an approach is “unfair and unjust” as it “risks conflating” the “distinct needs” of climate aid and other humanitarian objectives.

In its guidance for categorising what counts as climate finance, the Organisation for Economic Co-operation and Development’s Development Assistance Committee recommends scoring many humanitarian projects “zero”, indicating programmes that “generally do not qualify” as climate aid.

More private investment

The third-largest tranche of reclassified development aid relates to state-backed private sector investment under British International Investment (BII).

The UK government will also now count more of its payments into BII as climate finance, amounting to around an extra £266m by 2025-26. Unlike aid spending, these are investments in the private sector and are expected to yield a financial return for the UK.

Previously, the government counted a fixed 30% of BII spending as climate finance. It now intends to include a higher percentage to reflect a growing focus on climate investments.

The new approach to BII investments assesses the share of each project that should count towards UK climate finance case-by-case, rather than using a blanket 30% share.

It will record 100% of investments in a programme covering the Philippines, Indonesia and other parts of south-east Asia as ICF, as part of the government’s “Indo-Pacific tilt”. Investments in other regions also contribute a higher share of ICF – rising as high as 46% in 2022-23.

The chart below shows the extra BII investment money (red) that now counts as ICF.

The UK government has reclassified £266m of state-backed private sector investment as climate finance
Annual UK ICF spending, £m, from British International Investment (BII) contributions. Blue columns indicate the ICF spending that was expected from BII prior to the methodology change and red columns indicate ICF spending from BII after the change. Source: UK government.

The figure above shows that the government expects private sector investment via BII to play an increasingly large role in its climate finance in the future.

Many observers have expressed concerns about the government leaning more on private investment through BII to boost its ICF spending. 

A report last year by the parliamentary international development committee criticised BII’s investment in, among other things, fossil fuels and “high-net-worth individuals”.

BII prioritises loans and projects in middle-income nations where there is money to be made, rather than the nations that are most in need of climate finance. 

ICAI highlighted this in its review of the UK’s climate finance commitments earlier this year, stating that private investment “is not always the most appropriate, realistic or preferred form of climate finance in the poorest and most fragile contexts”.

Not new, not additional

Developing countries will require trillions of dollars of investment in the coming years to meet their climate goals. 

To help achieve this, developed countries, such as the UK, are expected to provide finance under the UN climate system that is “new and additional”. Discussions around a new climate finance goal will take centre stage this year at the COP29 climate summit in Baku.

Experts tell Carbon Brief that the UK government’s changes to its ICF undermine the notion that it is providing new, “ring-fenced” funding. Regarding the “arbitrary” labelling of humanitarian funds as ICF, Ritchie says:

“If the UK is counting a fixed share of projects as ICF it can no longer claim that ICF is distinguishable from non-climate [aid].”

Gideon Rabinowitz, director of policy and advocacy at the international development network Bond, tells Carbon Brief:

“The change of definition means they will be able to reach the target by spending less money than they would have done otherwise through double counting development and climate finance.”

Development NGOs say the best way for the UK to scale up its climate finance would be to return its foreign aid budget to 0.7% of GNI. However, with an election looming, neither the ruling Conservatives nor their Labour challengers have indicated a willingness to do this.

There will be considerable pressure on developed countries in the coming months to commit to providing plentiful, high-quality climate finance in the run up to COP29.

Evans Njewa, the chair of the LDC group, to which nearly all of the UK’s humanitarian aid ICF recipients belong, tells Carbon Brief:

“Reclassifying existing donor aid as climate finance is a clear deviation from the path to climate justice, and closing the finance gap cannot be achieved this way.”

Climate-finance reporting has been described as a “wild west”, with countries announcing figures based on vastly different definitions. This has led to nations counting money for coal, hotels and films in their totals, as there is no binding international standard to guide them.

The UK government noted last year that its changes are in line with other countries’ methods. But experts point out that the UK was previously viewed as setting a high standard for other countries to reach. 

In contrast, the new approach “risks breeding cynicism and mistrust because you are going to find programmes that have very little to do with climate change, but end up being reported in the pot as climate finance”, Rabinowitz says.

Hussein agrees, telling Carbon Brief:

“This not only highlights the disparity between western countries’ rhetoric on climate finance and their actual financial commitments to developing countries but also risks undermining trust that underpins global climate action.”

She argues that nations should agree on common definitions and accounting methodologies for climate finance to ensure that governments cannot backslide as the UK has.

Responding to Carbon Brief’s questions about the government’s methodology changes, a spokesperson from the Foreign, Commonwealth and Development Office (FCDO) said:

“Since 2011, UK funding has helped more than 100 million people cope with the effects of climate change, given 70 million people access to clean energy and reduced or avoided over 86m tonnes of greenhouse gas emissions.

“The UK remains on track to meet the £11.6bn international climate finance commitment.”

The post Revealed: UK ‘double counting’ £500m of aid for war-torn countries as climate finance  appeared first on Carbon Brief.

Revealed: UK ‘double counting’ £500m of aid for war-torn countries as climate finance 

Continue Reading

Climate Change

DeBriefed 15 August 2025: Raging wildfires; Xi’s priorities; Factchecking the Trump climate report

Published

on

Welcome to Carbon Brief’s DeBriefed. 
An essential guide to the week’s key developments relating to climate change.

This week

Blazing heat hits Europe

FANNING THE FLAMES: Wildfires “fanned by a heatwave and strong winds” caused havoc across southern Europe, Reuters reported. It added: “Fire has affected nearly 440,000 hectares (1,700 square miles) in the eurozone so far in 2025, double the average for the same period of the year since 2006.” Extreme heat is “breaking temperature records across Europe”, the Guardian said, with several countries reporting readings of around 40C.

HUMAN TOLL: At least three people have died in the wildfires erupting across Spain, Turkey and Albania, France24 said, adding that the fires have “displaced thousands in Greece and Albania”. Le Monde reported that a child in Italy “died of heatstroke”, while thousands were evacuated from Spain and firefighters “battled three large wildfires” in Portugal.

UK WILDFIRE RISK: The UK saw temperatures as high as 33.4C this week as England “entered its fourth heatwave”, BBC News said. The high heat is causing “nationally significant” water shortfalls, it added, “hitting farms, damaging wildlife and increasing wildfires”. The Daily Mirror noted that these conditions “could last until mid-autumn”. Scientists warn the UK faces possible “firewaves” due to climate change, BBC News also reported.

Around the world

  • GRID PRESSURES: Iraq suffered a “near nationwide blackout” as elevated power demand – due to extreme temperatures of around 50C – triggered a transmission line failure, Bloomberg reported.
  • ‘DIRE’ DOWN UNDER: The Australian government is keeping a climate risk assessment that contains “dire” implications for the continent “under wraps”, the Australian Financial Review said.
  • EXTREME RAINFALL: Mexico City is “seeing one of its heaviest rainy seasons in years”, the Washington Post said. Downpours in the Japanese island of Kyushu “caused flooding and mudslides”, according to Politico. In Kashmir, flash floods killed 56 and left “scores missing”, the Associated Press said.
  • SOUTH-SOUTH COOPERATION: China and Brazil agreed to “ensure the success” of COP30 in a recent phone call, Chinese state news agency Xinhua reported.
  • PLASTIC ‘DEADLOCK’: Talks on a plastic pollution treaty have failed again at a summit in Geneva, according to the Guardian, with countries “deadlocked” on whether it should include “curbs on production and toxic chemicals”.

15

The number of times by which the most ethnically-diverse areas in England are more likely to experience extreme heat than its “least diverse” areas, according to new analysis by Carbon Brief.


Latest climate research

  • As many as 13 minerals critical for low-carbon energy may face shortages under 2C pathways | Nature Climate Change
  • A “scoping review” examined the impact of climate change on poor sexual and reproductive health and rights in sub-Saharan Africa | PLOS One
  • A UK university cut the carbon footprint of its weekly canteen menu by 31% “without students noticing” | Nature Food

(For more, see Carbon Brief’s in-depth daily summaries of the top climate news stories on Monday, Tuesday, Wednesday, Thursday and Friday.)

Captured

Factchecking Trump’s climate report

A report commissioned by the US government to justify rolling back climate regulations contains “at least 100 false or misleading statements”, according to a Carbon Brief factcheck involving dozens of leading climate scientists. The report, compiled in two months by five hand-picked researchers, inaccurately claims that “CO2-induced warming might be less damaging economically than commonly believed” and misleadingly states that “excessively aggressive [emissions] mitigation policies could prove more detrimental than beneficial”80

Spotlight

Does Xi Jinping care about climate change?

This week, Carbon Brief unpacks new research on Chinese president Xi Jinping’s policy priorities.

On this day in 2005, Xi Jinping, a local official in eastern China, made an unplanned speech when touring a small village – a rare occurrence in China’s highly-choreographed political culture.

In it, he observed that “lucid waters and lush mountains are mountains of silver and gold” – that is, the environment cannot be sacrificed for the sake of growth.

(The full text of the speech is not available, although Xi discussed the concept in a brief newspaper column – see below – a few days later.)

In a time where most government officials were laser-focused on delivering economic growth, this message was highly unusual.

Forward-thinking on environment

As a local official in the early 2000s, Xi endorsed the concept of “green GDP”, which integrates the value of natural resources and the environment into GDP calculations.

He also penned a regular newspaper column, 22 of which discussed environmental protection – although “climate change” was never mentioned.

This focus carried over to China’s national agenda when Xi became president.

New research from the Asia Society Policy Institute tracked policies in which Xi is reported by state media to have “personally” taken action.

It found that environmental protection is one of six topics in which he is often said to have directly steered policymaking.

Such policies include guidelines to build a “Beautiful China”, the creation of an environmental protection inspection team and the “three-north shelterbelt” afforestation programme.

“It’s important to know what Xi’s priorities are because the top leader wields outsized influence in the Chinese political system,” Neil Thomas, Asia Society Policy Institute fellow and report co-author, told Carbon Brief.

Local policymakers are “more likely” to invest resources in addressing policies they know have Xi’s attention, to increase their chances for promotion, he added.

What about climate and energy?

However, the research noted, climate and energy policies have not been publicised as bearing Xi’s personal touch.

“I think Xi prioritises environmental protection more than climate change because reducing pollution is an issue of social stability,” Thomas said, noting that “smoggy skies and polluted rivers” were more visible and more likely to trigger civil society pushback than gradual temperature increases.

The paper also said topics might not be linked to Xi personally when they are “too technical” or “politically sensitive”.

For example, Xi’s landmark decision for China to achieve carbon neutrality by 2060 is widely reported as having only been made after climate modelling – facilitated by former climate envoy Xie Zhenhua – showed that this goal was achievable.

Prior to this, Xi had never spoken publicly about carbon neutrality.

Prof Alex Wang, a University of California, Los Angeles professor of law not involved in the research, noted that emphasising Xi’s personal attention may signal “top” political priorities, but not necessarily Xi’s “personal interests”.

By not emphasising climate, he said, Xi may be trying to avoid “pushing the system to overprioritise climate to the exclusion of the other priorities”.

There are other ways to know where climate ranks on the policy agenda, Thomas noted:

“Climate watchers should look at what Xi says, what Xi does and what policies Xi authorises in the name of the ‘central committee’. Is Xi talking more about climate? Is Xi establishing institutions and convening meetings that focus on climate? Is climate becoming a more prominent theme in top-level documents?”

Watch, read, listen

TRUMP EFFECT: The Columbia Energy Exchange podcast examined how pressure from US tariffs could affect India’s clean energy transition.

NAMIBIAN ‘DESTRUCTION’: The National Observer investigated the failure to address “human rights abuses and environmental destruction” claims against a Canadian oil company in Namibia.

‘RED AI’: The Network for the Digital Economy and the Environment studied the state of current research on “Red AI”, or the “negative environmental implications of AI”.

Coming up

Pick of the jobs

DeBriefed is edited by Daisy Dunne. Please send any tips or feedback to debriefed@carbonbrief.org.

This is an online version of Carbon Brief’s weekly DeBriefed email newsletter. Subscribe for free here.

The post DeBriefed 15 August 2025: Raging wildfires; Xi’s priorities; Factchecking the Trump climate report appeared first on Carbon Brief.

DeBriefed 15 August 2025: Raging wildfires; Xi’s priorities; Factchecking the Trump climate report

Continue Reading

Climate Change

New York Already Denied Permits to These Gas Pipelines. Under Trump, They Could Get Greenlit

Published

on

The specter of a “gas-for-wind” compromise between the governor and the White House is drawing the ire of residents as a deadline looms.

Hundreds of New Yorkers rallied against new natural gas pipelines in their state as a deadline loomed for the public to comment on a revived proposal to expand the gas pipeline that supplies downstate New York.

New York Already Denied Permits to These Gas Pipelines. Under Trump, They Could Get Greenlit

Continue Reading

Climate Change

Factcheck: Trump’s climate report includes more than 100 false or misleading claims

Published

on

A “critical assessment” report commissioned by the Trump administration to justify a rollback of US climate regulations contains at least 100 false or misleading statements, according to a Carbon Brief factcheck involving dozens of leading climate scientists.

The report – “A critical review of impacts of greenhouse gas emissions on the US climate” – was published by the US Department of Energy (DoE) on 23 July, just days before the government laid out plans to revoke a scientific finding used as the legal basis for emissions regulation.

The executive summary of the controversial report inaccurately claims that “CO2-induced warming might be less damaging economically than commonly believed”.

It also states misleadingly that “excessively aggressive [emissions] mitigation policies could prove more detrimental than beneficial”.

Compiled in just two months by five “independent” researchers hand-selected by the climate-sceptic US secretary of energy Chris Wright, the document has sparked fierce criticism from climate scientists, who have pointed to factual errors, misrepresentation of research, messy citations and the cherry-picking of data.

Experts have also noted the authors’ track record of promoting views at odds with the mainstream understanding of climate science.

Wright’s department claims the report – which is currently open to public comment as part of a 30-day review – underwent an “internal peer-review period amongst [the] DoE’s scientific research community”.

The report is designed to provide a scientific underpinning to one flank of the Trump administration’s plans to rescind a finding that serves as the legal prerequisite for federal emissions regulation. (The second flank is about legal authority to regulate emissions.)

The “endangerment finding” – enacted by the Obama administration in 2009 – states that six greenhouse gases are contributing to the net-negative impacts of climate change and, thus, put the public in danger.

In a press release on 29 July, the US Environmental Protection Agency said “updated studies and information” set out in the new report would “challenge the assumptions” of the 2009 finding.

Carbon Brief asked a wide range of climate scientists, including those cited in the “critical review” itself, to factcheck the report’s various claims and statements.

The post Factcheck: Trump’s climate report includes more than 100 false or misleading claims appeared first on Carbon Brief.

https://www.carbonbrief.org/factcheck-trumps-climate-report-includes-more-than-100-false-or-misleading-claims/

Continue Reading

Trending

Copyright © 2022 BreakingClimateChange.com