The Conveyancing Information Executive (CIE) has updated its climate change compliance note as part of work to continue to reflect the evolving consideration of physical and transition risks in property transactions.
The updates take into account the recent Prudential Regulation Authority (PRA) Supervisory Statement SS5/25, which replaces SS3/19 and sets a new supervisory baseline for how UK banks and insurers must manage climate-related financial risks. The emphasis has moved from awareness-raising to evidence-based risk management, the CIE explained, which has onward implications for conveyancers as part of the property lifecycle.
In a review of its own compliance note the CIE – a standards and membership body for property data suppliers – said the updates reflected the evolving consideration of physical risks, such as heat stress, flooding and wildfires, and transition risks such as energy performance in property transactions. .
THe CIE Standards and associated Compliance Note also extend beyond data requirements; they specify what support is required from the environmental report supplier more holistically -support the body says is “critical” given the growing complexities of climate change reporting.
The CIE first published its Climate Change Searches Compliance Note in January 2023. The latest practice note follows from initial guidance, The Impact of Climate Change on Solicitors, published on 19th April 2023, and represents the Law Society’s view of good practice in relation to climate change risks for property.
The CIE welcomes membership applications from all organisations that support the UK’s conveyancing industry and adopt the highest industry data standards. For more information, visit www.conveyinfoexec.com
