Pension Funds: Carbon Emissions

The UK Stewardship Code is voluntary and provides signatories with an opportunity to report in a transparent and comparable way for clients and beneficiaries on how the signatory is delivering on the investment approaches mandated by their clients. The Financial Reporting Council’s recent consultation on the Code invited views on proposals to streamline reporting and help ensure that the Code’s principles can apply to a wide range of possible investment approaches. Pension schemes have climate-related reporting obligations set out in the TCFD regulations and DWP will work with the FRC as the revised Code is further developed, enabling the Code to continue to provide a means of demonstrating how the signatory’s stewardship contributes to meeting these obligations and any net zero goal the scheme may have.