Natural Capital is the value of the world’s natural resources. This includes forests, land, minerals, water, biodiversity, and all living things. Its benefits go beyond just the environment, providing:
- Environmental gains – Carbon sequestration, wildlife habitat creation, and cleaner air and water
- Economic opportunities – New revenue streams through nutrient/water neutrality schemes and biodiversity offsets
- Social benefits – Recreational spaces and improved community well-being.
We work with a variety of clients in establishing and advising on natural capital projects. We’ve a very experienced team of project solicitors in the development, estates, and tax sectors. This means we’re perfectly placed to provide a holistic service to guide clients through this emerging area, securing your investments for the future.
Unlocking and increasing the output of natural capital is a fundamental part of the Government’s ESG strategy to deliver Net Zero. It focuses on supporting, incentivising, and mandating land use that's environmentally and ecologically sustainable. The Government has taken an increasingly legislative approach to ensure natural capital is at the forefront of landowners’ plans for managing, promoting, and developing their land.
From 2024, developers will be legally required to procure a net gain to biodiversity (BNG) of at least 10% (although this has increased in some areas) in connection with their development.
Developers may offset the ecological consequences of their schemes either:
- Onsite - Improvements to biodiversity within the red line planning application
- Offsite - By obtaining units from habitat banks
- Statutory Credits. By acquiring credits from government schemes as a last resort. The hurdles and costs for purchase are high.
Natural Capital schemes therefore support estates, landowners and farmers diversifying their portfolio. It helps them to access new revenue streams in uncertain markets, while naturally delivering ecological and community benefit.
How can we help you with natural capital?
Our experts have extensive experience in advising a diverse range of clients, including:
- Wildlife charities
- Estates
- Developers
- Promoters
- Individuals
- Farmers.
We can help you unlock the opportunities and navigate the risks associated with this fast-evolving area.
