The significant financial impact of the coronavirus pandemic will pale into insignificance compared to the devastating effect of greenhouse gas emissions, according to research by Oxfam.
The report, which has been compiled by Oxfam in partnership with Swiss Re Institute predicts that the world’s richest countries will lose 8.5% GDP per year if they don’t tackle climate change. The prospect of global temperatures rising 2.6 degrees over the next 30 years would cost almost $5tn, shrinking economies by twice as much as the Covid-19 crisis.
With the UK hosting Cop26 in Glasgow later this year, the chief executive of Oxfam GB, Danny Sriskandrajah has warned that G7 countries will soon feel the financial cost if they continue to ignore climate change issues.
“The climate crisis is already devastating lives in poorer countries, but the world’s most developed economies are not immune,” he said. “The UK government has a once-in-a-generation opportunity to lead the world towards a safer, more liveable planet for all of us.
“It should strain every diplomatic sinew to secure the strongest possible outcome at the G7 and Cop26, and lead by example by turning promises into action and reversing self-defeating decisions like the proposed coalmine in Cumbria and cuts to overseas aid.”
The report comes at a time when the UK government is facing increased scrutiny on climate change targets. Despite making big promises, and bold statements, Boris Johnson’s government has taken very little real action, but doesn’t appear to have the backing of his own party on commitments.
Speaking in a report in Politico, Chris Stark, CEO of the Climate Change Committee, said: ”It’s great to see the enthusiasm that there is from No. 10 to do all of this, but we haven’t had much since. Many of the things that we need to do to get to net zero rest on the willingness of the people in this country to go with this program that the prime minister’s set out.
“It’s top-level politics rather than engaging with people in the country on what it means, and I’m very worried about it.”
