The present WMO report provides an update on the annual state of the climate observed in the year 2021, and shows continued trends (also reported in the IPCC reports) in terms of key indicators. These include concentrations of greenhouse gases, global annual mean surface temperature, global mean sea level, ocean heat content, ocean acidification, sea-ice extent and changes in mass of the ice sheets and glaciers. While the key indicators show that climate continues to change, information on socioeconomic impacts highlights the vulnerability of populations to current weather and climate events. Loss and damages of more than US$ 100 billion, as well as severe impacts on food security and humanitarian aspects due to high-impact weather and climate events have been reported.