Future adaptive capacity may be limited by declining institutional and community capacity resulting from high debt, unavailability of insurance, increasing regulatory requirements and funding mechanisms that lock in ongoing exposure to climate risk, creating mental health impacts (Rickards et al., 2014; Wiseman and Bardsley, 2016; McNamara and Buggy, 2017; McNamara et al., 2017; Moyle et al., 2017; Robinson et al., 2018; Ma et al., 2020; Yazd et al., 2020).11.3.4.1 Field Crops and Horticulture 11.3.4.1.1 Observed impacts Drought, heat and frost in recent decades have shown the vulnerability of Australian field crops and horticulture to climate change (Cai et al., 2014; Howden et al., 2014; CSIRO and BOM, 2015; Lobell et al., 2015; Hughes and Lawson, 2017; King et al., 2017; Webb et al., 2017; Harris et al., 2020) as recognised by policymakers (CoA, 2019a)