Investments: Environmental, Social and Governance Criteria

Baroness Kramer Excerpts

Wednesday 2nd March 2022 Lords Chamber

[Baroness Penn (Con)]

My Lords, I believe much can be done under existing powers in FCA regulation and the UK’s green taxonomy, but if any legislation is needed, it will be put forward in the usual way.

[Baroness Kramer (LD)]

My Lords, many investors are saying that with the EU, the UK, the US and other countries choosing different definitions for their green taxonomy, it is becoming almost impossible to work around and through this confusing, complex system. What are the Government, together with other centres, doing to try to come to a single, clear definition that the world can rely on?

[Baroness Penn (Con)]

My Lords, the noble Baroness makes a good point. The UK is working with the International Sustainability Standards Board to develop global sustainability reporting standards. We are also signed up to an initiative that combines the UK and China to create a globally recognised approach to the green taxonomy that will be common across different jurisdictions.