This summer’s wildfires across Europe have cost the economy an estimated £2.5 billion.
Simone Varotto, Professor of Finance at Henley Business School says the UK should treat southern Europe as an early warning, of what may happen in Britain and England in particular.
In Europe the fires have ripped through forests, scrubland, pasture and farmland, with several reaching urban areas in several countries, including France, Spain and Greece.
The total cost of damage will include destroyed homes, businesses and crops, disrupted tourism, smoke-related health effects and potentially higher insurance premiums.
In southern England, this summer’s three heatwaves have led to wildfires, which show that fire risk is no longer confined to the Mediterranean.
The Professor said: “The UK should treat southern Europe as an early warning. This summer’s heatwaves and wildfires in southern England, which have already burnt more than 20,000 hectares, show that fire risk is no longer confined to the Mediterranean.
“Priorities should include national wildfire-risk mapping, better management of heathland and forests, restrictions during extreme-risk periods, resilient infrastructure and tighter planning controls near combustible landscapes.
If the danger persists, Prof Varotto says England may need mirror the tactics used in Australia, South Africa and India, where instead of firefighting they focus on fire prevention. Tactics include controlled burning, satellite detection and building standards that resist embers and heat.
With growing risk, the academic also warned that insurers may begin to reassess UK wildfire exposure as European losses mount.
A publicly supported “Fire Re” scheme (A fire insurance scheme) is not currently under formal consideration in England, unless wildfire causes widespread withdrawal or unaffordability of household insurance. But Prof Varotto says it’s something authorities should explore.
Copyright © 2026 Energy Live News LtdELN