Rathbone Greenbank Investments, Rathbones’ specialist ethical, sustainable and impact arm, has today detailed its plan to become a net zero emissions business by 2040. This commitment covers emissions associated with its operations, supply chain and investments.
Greenbank’s net zero emissions plan includes:
A commitment to reach net zero carbon emissions from its own operations and supply chain by 2030, in line with Group, using the Science-Based Targets Initiative (SBTi) framework, an internationally recognised methodology
- A continuation of its long-standing strategic engagement programme to encourage corporate action on climate change and drive alignment to net zero emissions
- A cut of 60% in the carbon intensity of its investments by 2030, with 2020 as a baseline year.
Greenbank has followed the Net Zero Investment Framework (NZIF) to set targets covering the investments it manages. Since November 2019, Greenbank has worked alongside over 70 other investors, representing $32 trillion in assets under management, as part of the Paris Aligned Investment Initiative to develop the NZIF. The NZIF is a strategic framework which asset owners and managers can use to maximise their contribution towards net zero emissions. Greenbank also discloses this net zero strategy today to the Net Zero Asset Managers Initiative, which it has been a signatory to since March 2021.
Rathbone Brothers Plc has further announced how it plans to achieve net zero emissions across the wider business by 2050 or sooner.
Having undertaken a full emissions inventory, Group will be using the SBTi methodology to set its operational and investment targets, as part of its efforts to reduce greenhouse gas emissions and limit global warming to 1.5°C above pre-industrial levels.
To do so, Group will include direct operational emissions, alongside those linked to suppliers and investments. Using 2020 as a baseline year, it will work to achieve a 42% reduction in operational and supply chain emissions by 2030, in conjunction with 57% of underlying holdings to commit to or set an SBTi aligned target by 2030. This is in line with Group’s objective of achieving 100% investment coverage by 2040.
Delivering on this will see Group build on the 79% reduction in operational carbon intensity per full-time employee since 2013 and complete the transition of our offices to renewable energy sources by the end of 2025. This will aid Group in meeting the 2025 internal target of a 21% reduction across our scope 1 and 2, and operational scope 3 emissions.
Progress towards all these targets, including those of Greenbank, will be tracked through Group’s annual public reporting.
John David, Head of Rathbone Greenbank Investments, said: “Greenbank is a leading ESG investor that has been integrating climate factors into investment decision-making for over two decades. We have long-used engagement and voting to lock-in company ambition on climate change so it is only right that we then set ourselves ambitious and stretching net zero targets which allow us to continue challenging our portfolio companies and teams to do more for the future of our planet. The NZIF provides us with a practical blueprint to make significant progress this decade and beyond.”
Paul Stockton, CEO of Rathbone Brothers Plc said: “Climate change is one of the biggest challenges that we face globally, and Rathbones will play its part in the fight against it.
“We have always recognised the importance of maintaining a dialogue with the companies we invest in and remain eager to support them towards better, more sustainable long-term performance. Our engagement and collaboration programmes increase our ability to drive some necessary changes and we support several organisations, including the IIGCC (Institutional Investors Group on Climate Change), Climate Action 100+ and the PRI.
“Today’s commitments to interim targets are an important step on our road to net zero. Having released our first TCFD report in our 2020 Annual Report and Accounts, we will continue to share our progress on initiatives, and the challenges we face, in Annual Reports as well as PRI and CDP submissions.”