This week – Guy Opperman pledges ‘simple annual benefits statements’, the Government Actuary’s Department agrees with HM Treasury’s cost-control mechanism reforms, most pension schemes falling short on ESG commitments, and BT Pension Scheme deficit improves on back of recovery plan.

ESG spotlight: A roundup of the latest news on environmental, social and governance initiatives, including the launch of practical case studies to help schemes achieve climate goals, and The People’s Pension divesting £226m from companies that failed to meet standards.  

Podcast: Stefan Lundbergh, director at Cardano, and John Howchin, secretary-general of the Council on Ethics for Sweden’s national pension funds, discuss why socially aware investing is so important for pension funds of all sizes — and how trustees can go about taking action.

On the go: Managing climate change is now “business as usual” for pension funds, while other factors surrounding political instability have diminished in importance, Tim Manuel, co-head of responsible investment at Aon, told the Pensions and Lifetime Savings Association’s annual conference.

As the COP26 conference draws near, the summit’s theme of ‘adaptation’ has raised questions around how schemes can align their environmental and societal commitments to protect the planet’s ecology and communities.

Pensions minister Guy Opperman has lauded the government’s “utterly transformational” approach to climate reporting requirements, while promising legislation on “simpler statements” and the “statements season” in the near future.

On the go: An overwhelming number of large UK pension schemes are yet to make net-zero commitments ahead of the COP26 summit, pensions campaign group Make My Money Matter has revealed.

On the go: The second issuance of the government’s green gilts is expected on October 18. While the first issuance was significantly oversubscribed, concerns about the “greenium” have deterred some pension schemes from investing.