Earlier this month, I wrote about the UK’s efforts to codify fiduciary duties related to ESG. At the time, I wrote that the future of the legislation was uncertain because there was no political consensus on the issue. Unfortunately for financial firms looking for clarity, the legislation failed. Responsible Investor writes:
“In a vote last week, peers from opposition parties led by the Conservatives and Liberal Democrats defeated an amendment to the Pension Schemes Bill that would have allowed the government to produce guidance on how trustees should think about financially material considerations – including ESG – and the best interests of members.”
The future of the amendment is still up in the air. It will now go back to the House of Commons for further deliberation. However, it is unclear if there is any version of the amendment that can garner enough political support to become law. UK lawmakers have until May to keep trying.
Our members can learn more about ESG in the financial sector here.
If you’re not already a member, sign up now and take advantage of our no-risk “100-Day Promise” – during the first 100 days as an activated member, you may cancel for any reason and receive a full refund. But it will probably pay for itself before then. Members also save hours of research and reading time each week by using our filtered and curated library of ESG/sustainability resources covering over 100 sustainability subject areas – updated daily with practical and credible information.
Practical Guidance for Companies, Curated for Clarity.
