Fossil fuel commitments omit government’s development bank, campaigners warn

Fossil fuel commitments omit government’s development bank, campaigners warn

Date: 24 March 2021
Campaigns: Aid, Climate

The government’s commitment to stop supporting fossil fuel projects abroad has “significant exemptions” campaigners have warned.

CDC Group, the UK’s government-owned development bank, will be allowed to continue funding fossil fuel projects under the strategy.

Global Justice Now, an NGO campaigning for climate justice, warned the exemption could make CDC a “rogue institution.

The announcement is a “missed opportunity” for more serious progress reducing emissions. , Global Justice Now warns, and risks undermining the UK’s claims of climate authority ahead of hosting COP26 this year.

Daniel Willis, climate campaigner at Global Justice Now:

“It’s simply not true to say the government will no longer fund fossil fuel projects abroad. While today’s announcement is a huge win for climate campaigners, there are significant exceptions that will continue to pollute the planet.

“The UK’s own development bank, CDC Group, fully-owned by the government, will continue to fund fossil fuel projects, making it effectively a rogue institution exempt from these climate commitments.

“And this announcement will only guide, not dictate, the investment policies of other funds and banks that are major recipients of UK funding. This is a missed opportunity to make more serious progress reducing emissions that will undermine the UK’s claims of climate authority ahead of COP26.”

Ends

Notes for editors

Media contact

Joe Karp-Sawey, Media Manager
Tel: 07711875345
joe.karpsawey@globaljustice.org.uk
Global Justice Now


Photo: Vladimir Salman/Shutterstock