Pensions - Articles - PLSA response to the DWPs climate risk consultation

 Joe Dabrowski, Deputy Director, Policy, at the PLSA, said: “It’s clear from our work with pension funds that there is a strong desire to ‘do the right thing’ on climate and support the widespread adoption of TCFD across the investment chain to help achieve this outcome. The new requirements represent an important first step in that process.

 “The PLSA’s recent report, A Changing Climate, highlighted a number of systemic challenges which will make it hard for pension schemes’ to fully report in line with the TCFD regulations within the timeline proposed by the Government. It is important, as the Government consultation sets out, that TPR adopts a flexible approach to its regulation of these requirements until such time as greater clarity on data standards and definitions is achieved and until Government has set clear TCFD reporting obligations on investment managers and intermediaries.

 “We were pleased to see the Government recognise the need for a common taxonomy in November’s Climate Roadmap, and ahead of COP26 we’d encourage Government to be ambitious and prioritise solving this issue during this important year for climate consensus and action.

 “The PLSA would welcome the opportunity to work with TPR to develop industry guidance to assist with scheme’s TCFD reporting, as we have done so on a number of other areas previously.”