Climate risk, scenarios & resilience · Core

Policy risk

Also called: regulatory transition risk

ELI5

Risk from climate-related laws, regulation or government action.

Used in conversation

“The control is not complete until we can evidence how policy risk is monitored.”

Pitch context

You will see “Policy risk” in sustainability reports, impact decks, climate plans and assurance materials when the discussion reaches climate risk, scenarios & resilience.

Why it matters: In climate risk, scenarios & resilience, different calculation boundaries, periods or accounting treatments can change the number and the decision.

Caution

Calculation, recognition and disclosure can vary by accounting framework, company policy and reporting context.

Sources & evidence · 3

Direct term-level sources and supporting source families.