Carbon Emission Reduction Targets

Debate between Lord Bishop of St Albans and Lord Henley

Wednesday 5th December 2018 Lords Chamber

[The Lord Bishop of St Albans]

To ask Her Majesty’s Government what steps they are taking to encourage oil and gas companies to link executive pay to carbon emission reduction targets.

[The Parliamentary Under-Secretary of State, Department for Business, Energy and Industrial Strategy (Lord Henley) (Con)]

My Lords, the Government welcome the announcement by Shell that executive pay will be linked to carbon reduction targets. While executive pay is a matter for the company’s shareholders, the Government have given shareholders new powers to hold companies to account on pay, including a binding vote on the directors’ remuneration policy.

[The Lord Bishop of St Albans]

My Lords, I thank the Minister for his Answer and I agree that the announcement this week by Royal Dutch Shell is to be welcomed, though it has come after years of investor pressure, not least from the Church Commissioners and the Church of England Pensions Board. Her Majesty’s Government have stated their support for the Task Force on Climate-Related Financial Disclosures. Can the Minister tell us what practical things Her Majesty’s Government are doing to encourage that, and in particular what assessment they have made of whether it should become compulsory?

[Lord Henley]

My Lords, we believe that it is important that executive pay should be a matter for the companies involved. That is why we leave it to them and why we have given powers to shareholders in the Enterprise and Regulatory Reform Act 2013 to insist, as I said in my original Answer, that they have a binding vote on directors’ remuneration policy. In striving to meet carbon reduction targets, the Government will continue to encourage others to do the same, but that must be a matter for the companies.

Taylor Review

Debate between Lord Bishop of St Albans and Lord Henley

Wednesday 7th February 2018 Lords Chamber

[Lord Henley]

My Lords, I am aware of my noble friend’s concern on this matter and of his Private Member’s Bill. A letter is on its way to him and to others who have been involved in that Bill offering a meeting on the subject. I hope that he will receive it in due course.

[The Lord Bishop of St Albans]

My Lords, a number of things are to be welcomed in the Government’s response to the Taylor report but perhaps I may pick up on one small thing. One recommendation is that the Government should develop a free online tool to provide individuals with an indication of their employment status and rights. However, do the Government not realise that a large proportion of the workers who are most vulnerable to exploitation are the very ones who will have least access to that sort of digital connectivity? Will the Minister make a commitment that the question of how more vulnerable people can access this information will be looked at closely when implementing this recommendation?

[Lord Henley]

The right reverend Prelate makes a very good point—some people do have problems with access to computers and such matters. I know that considerable work has been done on these matters in the Department for Work and Pensions, particularly in relation to universal credit and other benefits. I think that the department finds that most people can manage but I will certainly have a further look at what the right reverend Prelate has said and, if there is anything further that I can add, I will write to him.