Today’s result shows the value of shareholder engagement with banks on climate change. The passing of Barclays’ climate resolution commits it to align all of its financing activities with the Paris Agreement. Almost 100% voted in favour, demonstrating clear shareholder backing for its ambition to become a net zero bank by 2050.
This resolution came about as a direct result of intensive shareholder engagement over the past year, including the first ever shareholder climate resolution at a major European bank, which Brunel Pension Partnership co-filed in December.
We hoped to see both resolutions pass, but are pleased to see that votes for the shareholder resolution (23.95%) exceeded the 20% threshold that requires the bank to consult with shareholders and explain the views received and actions taken publicly within six months.
This shows that a significant proportion of investors expect Barclays to deliver on its high-level ambition by setting clear targets to phase out fossil fuel financing not aligned to the Paris goals. We look forward to the bank’s response, noting that it has committed to “provide more detail on its strategy and targets later this year.”
We will continue to engage constructively to ensure that Barclays delivers on its commitments and takes real action to align its financing with the needs of the low carbon transition.
Our own clients have been strongly supportive of this major initiative, working collectively with us to support both resolutions with their legacy assets.