Recent evaluations have categorized several major high-street banks in the UK as facing significant scrutiny regarding their fossil fuel investments and environmental strategies.
Consumer advocacy organization Which? has analyzed the environmental policies of 13 leading current account providers in the UK, awarding the Which? Eco Provider designation to only three institutions.
According to Which?, the world’s 60 largest banks collectively invested a staggering $669 billion in the fossil fuel sector in 2022, with many UK high-street banks identified as notable offenders. Six banks—JPMorgan Chase, Santander, Barclays, HSBC, NatWest, and Lloyds—have been placed in a ‘red’ warning category due to their inadequate fossil fuel policies and insufficient commitments regarding agricultural commodities, including beef, soy, timber, and palm oil. This assessment is the result of in-depth analysis by Which? and Reclaim Finance, a non-profit research organization dedicated to sustainability.
The evaluation also looked into the transparency of these banks, assessing whether they possess credible targets to minimize their exposure to environmentally harmful sectors and if they provide independently verified data.
The three banks that earned the Which? Eco Provider distinction are Nationwide, The Co-operative Bank, and Triodos, all of which have no involvement in fossil fuel activities.
Sam Richardson, deputy editor of Which? Money, emphasized the importance of consumer choice in promoting sustainability: “Consumers looking to make environmentally conscious decisions may want to consider switching banks if they are uneasy about their funds being allocated to the fossil fuel industry and other potentially harmful projects. By selecting one of Which?’s three Eco Providers, customers can trust that their bank upholds strong green principles and avoids investments in coal, oil, or gas.”