New IPBES report exposes how biodiversity loss threatens global finance and supply chains

A major new report has highlighted the deep connections between nature, economic activity and finance. Adopted at the recent IPBES12 summit, the assessment reveals how biodiversity loss threatens global supply chains and long-term economic resilience. Over half of the world's GDP relies on ecosystem services like pollination, water cycling and climate regulation—services now under growing pressure.

The report provides businesses and policymakers with practical tools to measure risks linked to nature loss. UK-backed research has contributed key frameworks, including the biodiversity intactness index, which helped shape the IPBES assessment. Tools like Nature Value at Risk and the Peatland Code offer ways to evaluate exposure to ecosystem decline.

British innovation has also advanced global monitoring efforts. The Automated Monitoring of Insects system, developed with UK funding, is now used in over 30 countries to track biodiversity changes. Meanwhile, The Economics of Biodiversity: The Dasgupta Review, commissioned by the UK government, has influenced policies worldwide, though specific adoption details remain unclear.

The assessment outlines how disruptions to ecosystems can destabilise industries from agriculture to finance. By identifying data gaps and standardising metrics, it aims to help companies and governments better understand—and mitigate—the financial risks tied to nature's decline.

The findings underscore the urgent need for businesses and financial systems to account for nature-related risks. With more than half of global GDP dependent on healthy ecosystems, the report's tools and frameworks offer a starting point for action. Policymakers and companies now face the task of integrating these insights into economic planning and risk management.