What are the Transition Finance Guidelines?
Following the feedback received through the UK consultation over the summer, the Transition Finance Council has continued to iterate its ‘Transition Finance Guidelines’ to support capital providers identify credible transition finance opportunities.
The Guidelines focus on entity level financing in transitioning corporates or real asset operators (or ‘entities’).
The objectives of the Guidelines are to:
- Create consistent minimum expectations for transition finance - these may be applied to entities across different sectors and jurisdictions, including those without formal transition plans.
- Allow a practical assessment of credible transition - using Factors to assess the capacity of the entity to deliver expected decarbonisation and financial outcomes in the near- and mediumterm.
- Complement existing frameworks - be interoperable with existing global and domestic frameworks applicable in different parts of the market for transition finance.
Download the high-level summary
Have your say
The Transition Finance Council is now seeking international feedback on both its updated November draft of the Transition Finance Guidelines and the new draft Implementation Handbook. For a summary of the key changes since the previous August draft, please see the progress update within the questions document.
The Guidelines are designed to support capital allocation to credibly transitioning entities across different asset classes and jurisdictions. The draft Implementation Handbook includes examples and offers practical support for users to apply the Guidelines effectively in different contexts.
The Transition Finance Council is running a 12-week consultation open now until the 30 January 2026, with a view to publish the final iteration in Spring 2026. We are looking for feedback from market actors across the globe, including but not limited to financial institutions, corporates, governments and other standard setters.