In June 2022, the Government Department for Work and Pensions (DWP) published the response to its open consultation on Climate and Investment reporting: setting expectations and empowering savers.
Amendments to the Occupational Pension Schemes (Climate Change Governance and Reporting) Regulations 2022 will come into force on 1 October 2022. The Regulations require trustees to select and calculate a portfolio alignment metric and to report on that in their TCFD report.
The Government have made changes to statutory guidance to provide further clarity for trustees on their portfolio alignment reporting. The stewardship guidance also clarifies the Government's expectations on stewardship, and highlights where disclosures can align with reporting to the UK Stewardship Code. The Government will work with the Financial Reporting Council (FRC) to ensure disclosures are aligned as far as possible.
AREF’s ESG Disclosures Working Group drew up AREF's response to the consultation In January 2022. This was overseen by AREF’s Public Policy, ESG & Impact Investing and Investor Committees.
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