Nature-based solutions is a term used to describe actions that protect, restore and sustainably use natural resources to address social, economic and environmental challenges. Food and renewable energy are common examples of nature-based solutions, but new opportunities are emerging for a wider range of services to be provided by land. These include adaption to climate change, reversing biodiversity loss, improving society’s mental and physical health, and offering access to nutritious food.

Creating a nature-based solution often means making an intervention in how we manage our natural resources in order to produce better environmental or social benefits. Because these benefits are valuable, land managers can be paid to provide the nature-based solution; typically, they would not provide them unless a transaction enables them to.

Demand for nature-based solutions is increasing as a result of regulation and changing perceptions of business risk. There is a growing understanding that investing in nature-based solutions can reduce long term business costs and increase the environmental resilience of assets and supply chains.

Land managers can receive support to deliver nature-based solutions from government schemes. The future Environmental Land Management schemes in England and the Sustainable Farming Scheme in Wales are likely to focus on nature-based solutions such as woodland and habitat creation.

There is also growing appetite from investors to fund the creation of nature-based solutions. The return on investment is dependent on selling ecosystem services to private buyers of environmental outcomes, such as water companies, carbon offsetters or insurance companies. Land managers may also want to fund the creation of nature based solutions themselves, retaining the environmental outcomes for their own benefit, such as wetlands for cleaning dirty water. 

Glossary

• Natural capital: The world’s stock of natural resources, including geology, soils, air, water and all living organisms.
• Ecosystem services: The benefits to society that flow from natural capital, for example, food and fibre, carbon sequestration, pollination, water regulation, recreation and wellbeing.
• Nature-based solutions: Actions to protect, restore and sustainably use ecosystems and natural resources to address social, economic and environmental challenges.

Further information

Contact Andrew Teanby or Jon Dearsley

Spotlight: Nature-based solutions