As we head toward London Climate Action Week at the end of this month, businesses in the city will be thinking about the most effective tools they have to improve their climate and wider sustainability outcomes.

At UK Finance, the Transition to Net Zero is a priority workstream, helping to guide the advocacy work we do. Much of the banking and finance sector’s environmental and social impact comes not from its own operations like the buildings it uses, but from portfolios and value chains. We are committed to using our voice to advocate for clearer, stronger Net Zero policies across the economy. This in turn will enable the banking and finance sector to decarbonise more rapidly.

Beyond our advocacy, influencing our supply chain is another key tool at our disposal. Several campaigns have long demonstrated the powerful role that environmentally sensitive procurement policies can have in changing business practices. The Save Our Wild Isles campaign has recently shown why nature risk is a business risk, and the role of supply chains in addressing business impacts on nature. And many UK Finance members already set rigorous expectations of their suppliers.

To reinforce that commitment within the organisation and among our partners, we are also asking our suppliers to take into account their sustainability impacts. That is why we are launching our first Sustainability Supplier Charter, which requires suppliers to work with us to meet important sustainability criteria. These criteria include implementing measures to reduce CO2 emissions on the path to net zero, reducing waste to landfill, and encouraging and embedding environmental consciousness into their business practices.

To view our newly launched Sustainability Supplier Charter, please click here. This charter will be embedded into our tenders, assessment of new suppliers, and enhancing our existing supplier relationships. Please reach out to Suki Banning, Procurement Business Partner (suki.banning@ukfinance.org.uk) if you have any questions.