UK's biggest pension fund begins fossil fuels divestment
published 29.07.2020 07:01
Lauren Peacock of ShareAction said: “We hope it will encourage other pension schemes to up their ambition … Nest is setting clear expectations for those most responsible for the climate emergency and demonstrating the power of pensions to move them along a more sustainable path.”
Other pension funds have gone further than Nest – in 2016 Waltham Forest’s local government pension scheme was the first to commit to full divestment – selling out of coal, tar sands and oil and gas, and last year Cardiff councillors made a similar commitment.
The fund’s chief investment officer, Mark Fawcett, said Nest was sending a strong and clear message about the seriousness of climate change.
Nest, which handles much of the pensions of workers saving under the government’s “auto enrolment” scheme, will shift £5.5bn into “climate aware” investments as it anticipates a green economic recovery from coronavirus.
The UK’s biggest pension fund, the government-backed National Employment Savings Trust (Nest) scheme with nine million members, is to begin divesting from fossil fuels in what climate campaigners have hailed as a landmark move for the industry.