Investors Urge Barclays to End Fossil-Fuel Financing

By Dieter Holger

A coalition of investors co-filed a shareholder resolution at Barclays PLC (BARC.LN) on Wednesday that urges the bank to end financing for fossil-fuel companies contributing to climate change.

The resolution calls on Barclays to set and disclose targets to phase out financial services for energy companies that aren't aligned with the Paris Agreement of limiting global warming to no more than 2 degrees Celsius above pre-industrial levels. The investor group also wants the bank to report on its progress annually from 2021 onward.

Some of the largest investors behind the proposal include Brunel Pension Partnership, LGPS Central, Sarasin & Partners and Folksam Investors, which manage more than 130 billion pounds ($171 billion) combined.

U.K.-based non-profit ShareAction, which led the group of investors, said they hope Barclays's board will support the proposal at the bank's upcoming annual general meeting in early May.

"If Barclays supports the Paris Agreement, it will support this resolution," said Jeanne Martin, campaign manager at ShareAction, in prepared remarks.

In response, Barclays spokesman Simon Hailes said the bank is already "working to help tackle climate change, and we meet with ShareAction and other shareholders regularly to update them on our progress."

Barclays said that in 2018, it backed GBP27.3 billion worth of green bonds and financing for renewables. It has also pledged to use 90% renewable energy by 2025 and 100% by 2030.

Write to Dieter Holger at [e-mail]; @dieterholger

(END) Dow Jones Newswires

January 08, 2020 05:30 ET (10:30 GMT)

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