Background
International Climate Finance (ICF) is the UK’s cross-government portfolio which supports developing countries to mitigate and adapt to climate change. It is intended to help countries reduce emissions, address biodiversity loss and increase their resilience to the impacts of climate change. It supports the UK in meeting its international climate objectives.
The government committed to provide at least £11.6 billion of Official Development Assistance (ODA) during the third ICF commitment period (ICF3), from 2021-22 to 2025-26. ICF3 was delivered through hundreds of programmes across government, including through international organisations. In June 2026, the government published its new ICF strategy (ICF4), covering 2026-27 to 2028-29. This includes a commitment to provide around £6 billion of ODA as ICF, and to deploy an additional £6.7 billion of public finance to tackle climate change and nature loss.
The government is delivering its new ICF strategy in the context of a significantly reduced aid budget and a shift in its development approach, which places greater emphasis on investment and using public finance to mobilise private finance.
Scope
This report will examine whether the government is managing its International Climate Finance portfolio in a way that is likely to achieve its intended outcomes and provide value for money. It will consider:
- what the government knows about the results achieved through ICF3
- whether the government has used evidence and lessons from ICF3 to design ICF4 and has established a clear and evidence-based approach to implementing it
- whether the government is effectively managing and delivering the portfolio and is well placed to achieve the intended results
NAO team
Director: Leena Mathew
Audit Manager: Paul Wright-Anderson