Our first responsibility is to seek positive investment returns for our members, so we still invest in fossil fuels. However, as the world rapidly transitions to a more sustainable economy, we’re continuously working to invest your money responsibly. To do this, we are reviewing ways to further reduce the exposure of your pension savings to carbon emissions based on our target of achieving net zero greenhouse gas emissions from our investment portfolio by 2050.

In February 2024, we changed the way we select equities (shares in companies) in several of our investment funds. We moved £15bn of our members’ savings into climate-aware investment strategies. This move will gradually reduce the carbon emissions intensity (how much carbon dioxide is produced per million pounds invested) of these investments to align them with the pathway proposed by climate scientists to keep global warming below 1.5°C (compared to pre-industrial levels).

This is included within the following investment options:

• Pre-Retirement Fund
• Global Investments (up to 100% shares) Fund
• Global Investments (up to 85% shares) Fund
• Global Investments (up to 60% shares) Fund

For more information, please see our Responsible Investment webpage, which has links to our Responsible Investment Policy, Climate Change Policy, and our annual climate change reporting –Taskforce on Climate-Related Financial Disclosures (TFCD) Report.

What about the ethical fund?

Our Ethical Fund has taken the additional step of removing companies that have revenue linked to fossil fuels, in addition to exclusions in place for companies that gain a significant portion of their revenue from several other business activities that are linked to social or environmental harm.

For more information, please see Our Ethical Fund in focus webpage.