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Pension Funds: Fossil Fuels

Asked by Manuela PerteghellaLiberal DemocratDepartment for Work and PensionsTabled Answered 14 October 2025UIN 77787

The question

To ask the Secretary of State for Work and Pensions, whether his Department has made an estimate of the proportion of UK pension scheme assets invested in (a) thermal coal-fired and (b) other fossil fuel-fired power generation capacity.

Answered by Torsten Bell

The Department has not produced specific estimates on the proportion of UK pension scheme assets invested in fossil fuel-related activities, such as coal-fired power generation or fossil fuel production.

As part of the 2024 Mansion House reform package, the Government consulted on UK Sustainability Reporting Standards aligned with international sustainability standards, and our manifesto commitment to mandate climate transition plans. The Government are now analysing stakeholder feedback. Together, these initiatives will support the UK’s net-zero goals and broader green agenda and are expected to influence the investment landscape in which pension schemes operate.

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