Should council finance chiefs, asset managers and regeneration teams be worried or galvanised by the debate among the world's biggest investors on the environmental, social and governance (ESG) agenda?

The Norwegian sovereign wealth fund, the world's largest single investor with £1tn under management, said last month it would oppose the re-election of board members at companies dragging their heels on ESG. It is particularly concerned with the impact of climate change on asset values and health of the global economy. Yet this month, the world's largest private equity firm, Blackstone, was one of a dozen big US financial companies declaring that a backlash against ESG principles, or ‘woke capitalism', now threatens their financial performance.