London CIV becomes the first Local Authority pension pool to target net zero emissions by 2040

Responsible Investment

ESG

London CIV

Financial

Pension

London CIV has committed to become a net zero entity by 2040 in line with the Paris Agreement objectives to limit global temperature rise below 1.5°C. It will also become a net zero company across operational and supply chain emissions as early as 2025.

Alongside its main commitment, London CIV has set interim targets for its investments including a 35% carbon intensity reduction by 2025 (relative to 2020), and 60% by 2030 across funds invested via the London CIV Fund range worth £12.9bn[1] in total. London CIV plan to achieve its goals by decarbonising existing funds through targeted engagement, contributing to avoided emissions, launching new net zero funds and eventually contributing to negative emissions. In 2022, it will also calculate the impact of the passive funds included in the London CIV pool worth £13.0bn[2] and release a detailed roadmap to demonstrate a credible course of action to achieve its pathway to net zero on time.

“Over the next few decades one billion lives and trillions of pounds will be at risk due to a single issue: climate change. We hope by setting an ambitious target we will send a clear signal to our clients, managers and investee companies about our commitment to addressing this increasingly material issue with the urgency required”.

Jacqueline Amy Jackson, Head of Responsible Investment, London CIV

“Our net zero strategy our commitment to ensuring that the range of funds we offer are suitable for our clients’ varying climate goals. We want to ensure that in collaboration with all of our partners we can help Client Funds achieve their emissions reduction targets, however ambitious they may be”.

Mike O’Donnell, CEO, London CIV

Climate change risk management forms an important part of London CIV’s duty of care and is a strategic investment priority. 28 of its clients have declared a climate emergency and some have already set out net zero plans. Following its first comprehensive climate risk analysis, dedicated climate policy and TCFD report which it released in 2020. The London CIV launched the LCIV Renewables Infrastructure Fund and the LCIV Global Alpha Growth Paris Aligned Fund and has opened the LCIV Passive Equity Progressive Paris-Aligned Fund (PEPPA) for investment providing a wider range of climate-conscious products for its 32 clients (whose aggregate assets under management amount to £45bn[3]) to invest in.


[1] As of 30 Sept 2021

[2] As of 30 Sept 2021

[3] As of 31 March 2021

© London CIV 2021
London LGPS CIV Limited is a private limited company, registered in England and Wales, registered number 9136445. Registered office 4th Floor, 22 Lavington Street, London, SE1 0NZ. Authorised and Regulated by the Financial Conduct Authority number 710618. Registered VAT number 223 3802 40.

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