BoE scolded for carbon-heavy investments

coal power pollution
BoE's corporate bond portfolio is associated with an estimated average global temperature increase of 3.5°C

The Bank of England needs to align its corporate bond-buying programme with the goals of the Paris Climate Agreement, lawmakers said today (January 25).

In a letter to governor Andrew Bailey, the chair of the UK’s Environmental Audit Committee (EAC) criticised the central bank for purchasing bonds from high-carbon sectors as part of its Covid-19 response.

The BoE is at risk of “creating a moral hazard”, Philip Dunne said in the letter, by purchasing such bonds and providing finance to

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

Register for Central Banking

All fields are mandatory unless otherwise highlighted

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account

.