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Scientific Climate Ratings is a signatory of a new event report calling for higher standards of quality, transparency, and scientific rigour across the climate risk analytics market.
About the report
Published in May 2026 by researchers at University College London (UCL) and the Barcelona Supercomputing Center (BSC), as part of the EU Horizon Europe Climateurope2 programme, the report, Trustworthy climate information for effective physical climate risk assessment: Challenges and solutions in re/insurance and finance, documents the findings of a two-day workshop convened in London in October 2025.
The workshop brought together 35 participants from climate analytics providers, asset managers, insurers, and regulators to address a central question facing the sector: how should the quality and trustworthiness of climate analytics be defined, managed, and governed?
Key findings
The report identifies a rapidly growing but fragmented market, characterised by inconsistent quality management practices, limited model transparency, and mismatches between available data and the near-term, asset-level information that financial institutions actually need.
Participants converged on five defining characteristics of quality in climate risk analytics:
- Fitness for purpose. Information targeted to its intended use, with limitations clearly articulated.
- Scientific and technical robustness. Grounded in peer-reviewed science, with documented assumptions, sensitivity analysis, and uncertainty quantification.
- Documentation and replicability. Transparent methods, data provenance, and alignment with FAIR data principles.
- Responsible communication. Usable, clearly visualised, with ongoing user support.
- Reputational credibility. Independent validation and peer endorsement.
The report recommends a principles-based approach to standardisation, flexible and layered, combining common baseline requirements with sector-specific practices, and supported by regulatory endorsement and credible certification mechanisms.
Scientific Climate Ratings’ involvement
Scientific Climate Ratings’ Climate Risk Manager, Matthieu Renard, participated in the workshop and is named as a signatory of the report, alongside representatives from Fathom, Flood Re, Moody’s, and Maximum Information.
The report’s findings reflect the principles that have guided Scientific Climate Ratings’ methodology from the outset: full methodological transparency via published technical documentation, asset-level physical and transition risk quantification grounded in peer-reviewed science, and independently structured ratings expressed in financially material terms.
Climate risk is a financial and valuation issue. The quality of the analytics underpinning investment decisions matters, and the industry conversation about how to raise that bar is one Scientific Climate Ratings is committed to advancing.