Rachel Kyte, the UK’s newly appointed climate envoy, will maintain her role on the board of a charity whose founders have made significant donations to the Labour party and have investments in fossil fuels. This week, the UK government named Rachel Kyte, a former World Bank climate chief, as its special representative on climate. The founders of Quadrature Capital, an investment firm, established the Quadrature Climate Foundation. Rachel Kyte serves on the foundation’s climate advisory board.
In May, Quadrature Capital donated £4 million to the Labour party. Last year, the company had fossil fuel investments in its portfolio. Joy Morrissey, the shadow energy minister, recently questioned the government on whether the donation influenced Kyte’s appointment. Morrissey also asked if the appointment process considered the potential conflict of interest.
Despite the controversy, Kyte continues to be supported by many within the UK and global green movements. These figures emphasize her decades-long commitment to climate and development issues. The Guardian reports that Kyte will stay on the charity board, which operates independently of Quadrature Capital. She has no involvement in the company’s investments or decisions regarding political donations. Additionally, Kyte will remain a professor of practice in climate policy at Oxford University’s Blavatnik School of Government and may retain a few other external roles.
Prominent climate leaders have defended Kyte’s appointment. Christiana Figueres, a former UN climate chief and co-founder of Global Optimism, stated that Foreign Secretary David Lammy made an excellent choice in selecting Kyte. Figueres highlighted Kyte’s extensive experience in mobilizing climate finance, a critical issue in global climate negotiations. Laurence Tubiana, who played a key role in negotiating the Paris Agreement and now leads the European Climate Foundation, also praised Kyte. Tubiana called her a “warrior on the global climate pitch” and emphasized the value of Kyte’s expertise, particularly in climate finance, for both the UK and the global community.
Kyte’s role as the UK’s special representative on climate will involve high-level global diplomacy. She will work closely with both developed and developing nations to address the climate crisis. The Foreign, Commonwealth and Development Office (FCDO) confirmed that Kyte’s appointment followed standard Cabinet Office procedures for direct ministerial appointments. The FCDO will review her external engagements on a case-by-case basis to prevent conflicts of interest.
The Quadrature Climate Foundation, where Kyte serves as co-chair, was established by Greg Skinner and Suneil Setiya. The foundation, run independently from Quadrature Capital, focuses on funding science-led climate solutions. Since its inception, the foundation has committed over £700 million to advancing sustainable development and climate solutions globally. Jess Ayers, CEO of the foundation, emphasized that it operates with full independence from its founders’ investment firm and maintains political neutrality.