WHAT was it
Whether one agrees with him or not, it is in that context that we must see the
This worst-case scenario included, amongst other things, a complete lack of further action by governments to do anything - at all - to drag down greenhouse gas emissions. For the sake of its climate stress test, the globe would see temperature increases of 3.3 C by 2050 (the current target is below 1.5 C) despite the
Bank itself admitting that even if we whistled dixie on climate it would take until around 2080 before we saw anything like that.
Even the middle-ground scenario sees
We shall park the questionable remit the Bank has to start advising on government environmental policy, as the stress test clearly is doing. Nor will we make too much of the fact that the Bank's inflation forecasts for this year have proven about as accurate as if we'd asked a monkey to throw at a dartboard, which might suggest a 2050 prediction should be taken with a pinch of salt.
The Bank may believe its apocalyptic warnings will spur banks and insurers into action (of course, they already are. Your average large insurer has a more accurate weather forecasting system than the
(c) 2022 City A.M., source