Taking action on climate risk: further consultation
Today (27 January) the Department for Work and Pensions (DWP) has published its latest consultation setting out proposals for pension schemes in terms of climate risk.
This follows its consultation in August 2020. The DWP has made a number of changes to its proposals to improve the recognition, the governance, and disclosure of climate change risks by pension schemes.
One of these changes is the recognition of the pivotal role that covenant plays in determining member outcomes, and that these new requirements will extend to considering the impact of climate change on the employer covenant.
More information will be added here in due course.