Key Takeaways
- Climate efforts in Canada are losing momentum, according to a new report from the RBC Climate Action Institute.
- The institute’s climate action barometer fell in 2025 for the first time since it began measuring six years ago.
- Economic and trade uncertainty, policy changes, and the end of consumer carbon tax are contributing to stalled progress.
- A poll of 2,000 Canadians found that only 12% of respondents identified climate change as the most important priority.
- Businesses are in "course-correction" mode due to the shift in climate efforts under U.S. President Donald Trump.
Introduction to Climate Efforts in Canada
The RBC Climate Action Institute has released a new report that highlights a concerning trend in Canada’s climate efforts. Despite progress made since 2019, the country’s momentum towards addressing climate change appears to be slowing down. The institute’s climate action barometer, which quantifies efforts to combat climate change, fell in 2025 for the first time since it began measuring six years ago. This decline is a significant indicator that Canada’s climate efforts are losing steam, and it is essential to examine the factors contributing to this trend.
Factors Contributing to Stalled Progress
The report identifies several factors that have contributed to the stalled progress in Canada’s climate efforts. The end of the consumer carbon tax, removal of electric vehicle incentives, and Alberta’s restrictions on new renewables are some of the key examples cited. Additionally, flatlining government funding has also played a role in hindering climate action. These changes have created an environment of uncertainty, making it challenging for businesses and individuals to prioritize climate action. The report suggests that economic and trade uncertainty, along with policy changes, are souring business and consumer sentiment on climate action, leading to a decline in efforts to address climate change.
Public Perception and Priorities
A poll of 2,000 Canadians commissioned by RBC found that the public’s perception of climate change as a priority has shifted. The top three concerns for Canadians are affordability, healthcare, and the economy, while only 12% of respondents identified climate change as the most important priority. A third of the respondents ranked climate change among the top three priorities, indicating that while it is still a concern, it is no longer at the forefront of public attention. This shift in public perception is likely influenced by the current economic and political climate, which has created an environment where immediate concerns take precedence over long-term issues like climate change.
Business Response to Climate Change
The report also highlights the impact of the shift in climate efforts on businesses. With the change in leadership in the United States, businesses are in "course-correction" mode, reassessing their climate commitments. A quarter of Canadian executives cited the change in the U.S. administration as a key reason for scaling back their climate commitments. This response is not surprising, given the dramatic shift away from climate efforts under U.S. President Donald Trump. Businesses are likely to be cautious in their investments and commitments, especially when there is uncertainty about the policy environment and the level of support for climate action.
Implications and Future Directions
The report’s findings have significant implications for Canada’s climate efforts. The decline in momentum and the shift in public perception and business priorities suggest that the country is at a critical juncture. It is essential to address the factors contributing to stalled progress and to create an environment that supports climate action. This can be achieved through policies that promote investment in clean technologies, incentivize sustainable practices, and provide a stable and predictable policy environment. Additionally, raising public awareness and engagement on climate change can help to rebuild momentum and prioritize climate action. The report serves as a call to action, highlighting the need for concerted efforts from governments, businesses, and individuals to address the pressing issue of climate change.
Conclusion
In conclusion, the RBC Climate Action Institute’s report highlights a concerning trend in Canada’s climate efforts. The decline in momentum and the shift in public perception and business priorities suggest that the country is losing ground in its efforts to address climate change. It is essential to address the factors contributing to stalled progress and to create an environment that supports climate action. By prioritizing climate change and working together, Canada can get back on track and make progress towards a more sustainable future. The report’s findings serve as a reminder that climate change is a pressing issue that requires immediate attention and action, and it is up to governments, businesses, and individuals to work together to address this critical challenge.