Barclays Pressured by Shareholders to Cease Financing of Fossil Fuels

Barclays, one of the Europe’s biggest financer of fossil fuel, was pressured by the group of Barclays shareholders (ShareAction) to cut off the financing of fossil fuels. A voted resolution has been requested by eleven institutional investors at Barclays annual meeting which will be held in May. The bank will be requested to draw a plan to cease the financial services to the companies that do not obey the Paris climate agreement.

The activists and the increasing public concern impelled shareholders to pressurize Barclays to subsidize the firms participating in fighting climate crisis. Until now, Barclays investors were focusing more on investing in large gas and oil companies, which were largely responsible for manufacturing fossil fuel.

The investors have stated that a formal voted resolution might not be required if Barclays takes collective measures beforehand that could convince demands to fight climate crisis. The voted resolution which might be held in May at Barclays annual meeting, will be the first time for an European bank which will require to take actions to fight climate change by setting specific goals.

A Chief Executive of Brunel Pension Partnership, Laura Chappell stated that the financial practises have led to a serious threat to the demands of the Paris Agreement. She continued saying that there are high hopes from Barclays to support the resolution that will abide with the demands to combat climate change.