Following a letter to the Chancellor of the Exchequer from leading UK companies requesting mandatory disclosures of Net-Zero emissions plans, Carlota Garcia-Manas, Head of Engagement at Royal London Asset Management (RLAM) said:
“We are reaching a pivotal moment in the Net Zero commitment; we are seeing rapid uptake in the number of companies, from a wide range of industries, disclosing emissions and putting forward their targets and ambitions.
“For commitments to be credible, robust climate transition plans should be put forward. How companies plan to reach Net Zero is equally as important as reaching it.
“RLAM favours companies that both measure and manage the social impact of their climate action, alongside companies that limit quality offsets to residual emissions and inform their strategy with the latest science. As an asset manager with a commitment to reach Net Zero by 2050 in our portfolio, it is crucial that companies we invest in align their trajectories to Net Zero; this is the only way we can achieve a Net Zero economy and not just a Net Zero portfolio.
“We are calling for the government to make disclosure of Net-Zero transition plans mandatory. To fulfil The Paris Agreement, we are also asking for further guidance on how to formulate and assess these plans.”
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