Vivid Economics was commissioned by Defra to review techniques for modelling the macroeconomic impacts of climate change and the role of adaptation in the macro-economy. A theoretical framework is developed to enable policy-makers to succinctly yet robustly understand and evaluate macroeconomic models of climate change and adaptation. The literature is reviewed, including cutting-edge work on General Equilibrium modelling, the interaction of climate change and economic growth and the economics of extreme weather events. Recommendations for future work that would provide HMG with sufficient tools for policy analysis are made and were discussed at an expert workshop.