We have expanded the list of climate policies we assess company engagement with to incorporate land-use related policy, referring to legislative or regulatory measures to enhance and protect ecosystems and land where carbon is being stored. Assessments under this category are currently underweighted in terms of their contribution to the overall company metrics. This weighting will be progressively increased over the next 6 months.
We adjusted the terminology used to describe the queries running down the left-hand side of our scoring matrix and added additional explanatory text to the info-boxes. This has no impact on the scores and methodology. It has been done following user feedback to improve clarity.
The Pensions and Lifetime Savings Association (PLSA) appears to be engaging mostly positively on sustainable finance policy, particularly in the UK.
PLSA has recognized climate change as a systemic issue that requires systemic reform, also stating support for aligning financial flows with the Paris Agreement and advocating for policymakers to support sustainable finance regulation.
Generally, PLSA appears to be supportive of regulated ESG disclosures. In 2021, PLSA has been strongly supportive of the UK Government’s plan for mandatory implementation of the TCFD both in quotes from the CEO Julian Mund, in its own reporting and in comments to BEIS’ consultation on mandatory disclosures for large companies.
In its 2020 climate report, PLSA has been supportive of regulators examining common climate-relevant standards for the industry, and advocated for the need for a taxonomy in the UK. Its CEO Julian Mund also welcomed the work being made related to UK’s ‘green taxonomy’.
However, in response to DWP’s 2020 and 2021 consultations on improving governance and reporting for pension schemes, PLSA has argued that pension schemes might not be prepared to comply with the level of disclosure, proposing a less stringent approach in the first round of the consultation.
In comments to FCA’s effective stewardship consultation in 2019, PLSA appeared to support a stewardship framework but suggested it should be limited to a minimum threshold combined with a voluntary code. In response to DWP in 2018 on trustees’ investment duties, PLSA appeared generally supportive of the DWP's initiative but cautioned against requirements to engage pension fund members on their ESG preferences. However, in its own recent disclosures, PLSA appears to be generally supportive of incorporating ESG into stewardship duties. In its stewardship report in 2021, PLSA appears to be supportive of standards for stewardship which include ESG factors, including the UK Stewardship Code. Similarly, in its 2020 climate report, PLSA advocated for regulators to enable better climate stewardship.
PLSA has disclosed policy positions for all relevant sustainable finance policies with some detail of activities to influence these policies in its website. It has also disclosed board membership, but not a full list of its members.