Border to Coast joins £400bn pension group to support climate transition in emerging markets

16 May 2022

As a long-term institutional investor committed to Net Zero, Border to Coast Pensions Partnership (“Border to Coast”) has a key role to play in supporting global decarbonisation. This week, it has joined a collaboration of UK pension funds representing almost £400bn in assets to address how to support the climate transition in emerging markets.

Collectively, the group will explore how it can have a greater impact and help drive real world change by understanding the need, opportunity, and mechanisms that can be used to direct investments that support the climate transition in emerging markets, while supporting economic growth.

As a member of the group, Border to Coast:

• Recognises the important role that asset owners can and should play in supporting emerging economies in achieving their climate targets.   
• Is committed to better understanding the needs of emerging economies and the climate transition finance that will be required by governments and companies.  
• Is committed to working, in line with its fiduciary responsibility, to consider how it may scale investments in support of the climate transition in emerging economies 
• Is committed to working with the UK COP26 Presidency and other international financial institutions to consider the most practical and effective way to target and scale the funding that could be provided from UK pension funds, either through individual commitments or the creation of a joint commitment in line with respective investment strategies.  

Supported by the UK Pensions Minister, Guy Opperman, the group announced its intentions at a Net Zero Delivery Summit and will set out the steps it will take at this year’s COP27 in Egypt.

Rachel Elwell, CEO of Border to Coast, said: “The journey to Net Zero requires consistent, co-ordinated and positive action if we are to meet the Paris targets.  This includes supporting emerging markets manage a just transition to Net Zero, while supporting their continued economic growth.  As a long term, responsible investor, Border to Coast is committed to working with other investors, governments, and regulators to deliver real economy emissions reductions.”

Coordinated by the Church of England Pensions Board, Border to Coast has joined the group alongside: Brunel Pension Partnership; BT Pension Fund; Environment Agency Pension Fund; NEST; Northern LGPS; Legal and General Mastertrust; Legal and General Workplace Pension Plan and Stakeholder Pension Plan; Railpen; Universities’ Superannuation Scheme Ltd; West Yorkshire Pension Fund.

Source: Border to Coast