World stock markets may be over-valuing companies with fossil fuel assets that may be unburnable, UK lawmakers warned Thursday. The UK’s Environmental Audit Committee released a report warning that over-priced fossil fuel assets pose a systemic risk to global markets. “The UK government and Bank of England must not be complacent about the risks of carbon exposure in the world economy,” said committee chair and member of parliament Joan Walley. “Financial stability could be threatened if shares in fossil fuel companies turn out to be over-valued because the bulk of their oil, coal and gas reserves cannot be burnt without further destabilizing the climate,” she said. “The record-breaking extreme weather events causing chaos across the globe should be a wake-up call,” said Walley. “The transition to a low carbon economy will be much more painful if we wait until there is a climate crisis […]