A new report by ClientEarth and ShareAction has revealed that millions of UK pension savers, including those signed up under the government’s auto-enrolment legislation, may face significant future losses due to lack of action from pension providers and their regulator on climate risk. The report states that contract-based pension providers have not taken sufficient action to address climate risk and that the FCA, which regulates these providers, has so far failed to investigate or address this problem. The findings of the report include the need for industry-level guidance on incorporating climate risk into investments, with this recommendation formally endorsed to the FCA by Legal & General and Scottish Widows. 

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Client Earth