On the go: The All-Party Parliamentary Group for Local Authority Pension Funds has launched an inquiry to look at how these schemes can help in achieving a just transition to a decarbonised economy.
The inquiry into ‘Responsible investment for a just transition’ is being led by the chair of the APPG, Labour MP Clive Betts. Its findings will be published ahead of the UN climate change conference in Glasgow in November 2021.
On the announcement of the inquiry, the APPG stated that climate change is a “threat to lives and livelihoods, presenting systemic risks to the economy and financial markets and to our future prosperity”.
While shifting to a net-zero economy has the potential to create new jobs and drive economic growth, the “benefits may not be felt evenly, with some employees and communities at risk of being left behind”.
As a result, the APPG is focusing on the UK and the contribution that local authority pension funds and other institutional investors can make towards achieving a just transition.
“How can the policies and practices of major investors help decarbonise the economy in a way that protects beneficiaries and secures the future and livelihoods of workers and their communities?” it asked.
Over the coming months, the APPG inquiry will be carrying out research and holding oral evidence sessions with experts and stakeholders. The group would also like to hear personal views and receive any evidence on the topic.
The inquiry is being supported by the Local Authority Pension Fund Forum, which represents 82 public pension funds and seven pools with combined assets under management of £300bn.
The deadline for submissions is April 30. The APPG aims to publish its findings and recommendations in the autumn and present them to parliament, as well as to UN agencies, devolved and local government, business, investors, trade unions and other stakeholders, it added.
