Our panel brought together industry leaders to discuss the evolving landscape of transition finance and how treasurers can champion their organisations’ journey to net zero. NatWest was delighted to design and  moderate this insightful session, bringing together experts from the Transition Finance Council (Vanessa Havard-Williams), Kier Group (Ben Stone), and Cadent Gas (Helena Norgate) to address both challenges and opportunities in supporting credible decarbonisation strategies.

Transition finance is emerging as a vital tool for high-emitting sectors seeking to decarbonize. Unlike traditional green finance, which typically funds specific green projects, transition finance is about supporting the broader transformation of entire organizations. This means moving beyond labels and embedding credible, actionable transition plans into overall corporate strategy. Investors are increasingly looking for evidence of ambition, action, and robust governance – not just targets, but the pathways and proof behind them.

• Credibility is crucial: transition plans must be detailed, realistic, and closely tied to business strategy. Investors and lenders are scrutinising risk management and want to see how organizations are addressing climate and increasingly nature-related risks.
• Standards and clarity: the need for a common language is greater than ever. ISSB S2, UK TPT and Transition Finance Council frameworks all support development of transition plans and to define what “good” transition finance looks like helping reduce the risk of greenwashing.
• Valuing innovation: nature-based solutions, such as sustainable drainage systems, deliver enormous environmental and societal benefits but often don’t create traditional financeable assets. The industry must evolve to recognise and fund these innovations.
• Data and disclosure challenges: measuring and reporting Scope 3 emissions, especially across SME-heavy supply chains, remains a significant hurdle. Nevertheless, transparent, science-based targets and open engagement with investors are becoming the norm.
• Integration is key: the most effective approaches are those that integrate treasury, sustainability, and investor relations teams, ensuring alignment and clarity in both planning and communication.

1. Understand your risks and opportunities: map out the climate and nature-related risks most relevant to your business, and identify where sustainability can drive value – both operationally and financially.
2. Embed transition planning: work closely with sustainability teams to ensure transition plans are not just robust but also fully integrated into corporate strategy and financial planning.
3. Engage with guidelines: get involved in the development and review of transition finance standards to ensure they are practical and fit for purpose for your organisation.
4. Communicate transparently: investors want clarity on the narrative behind your numbers. Be ready to share your journey, the challenges you face, and the progress you make.
5. Foster collaboration: build cross-functional teams spanning treasury, sustainability, and investor relations to maximise the impact and credibility of your transition strategy.

As the transition to net zero accelerates, treasurers have a unique opportunity to lead from the front. By embedding credible transition plans, embracing innovation, and collaborating across functions, you can help unlock the capital and confidence needed to support your organisation through this transformation.