01 Jun 2022

The Investing ‘Green’ Road-map

The UK government would like us to be a leader in sustainable investing.

To start us on this journey, it has created a road map with the following objectives:

• Climate change mitigation
• Climate change adaption
• Sustainable use and protection of water and marine resources
• Transition to a circular economy
• Pollution prevention and control
• Protection and restoration of biodiversity and ecosystems

Companies listed on the stock exchange will have to show how they stack up against these criteria as well as how their expenditure relates to each element.

This will help both the large institutional investors, and pension schemes decide where to invest, and likewise, pension and investment companies will also need to disclose facts about the sustainable credentials of their investments.

It is hoped that this transparency will help consumers compare products easily, and make informed decisions, and is expected to be in place by 2023 in most instances.