National Investing Bodies join investor call on Europe’s largest companies to address missing climate change costs in financial accounts
The Church Commissioners for England and Church of England Pensions Board alongside a group of leading global investors have written to 36 of Europe’s largest companies through the Institutional Investors Group on Climate Change (IIGCC), to call on firms to properly reflect the implications of global commitments to limit temperature increases to well below 2°C, and ideally to 1.5°C, in their financial statements.
The 38 investor signatories to the letter collectively represent $9.3 trillion in assets under management or advice, underscoring the growing significance of the issue for the sector.
Companies receiving the letter were selected due to their exposure to decarbonisation risks, as economies transition away from fossil fuels in line with the Paris Agreement on climate change. This includes the largest listed European firms by revenue across the energy, transport and materials sectors. A few examples include, Anglo American, BASF, BMW, BP, Deutsche Lufthansa, EDF and Shell, among numerous others.