Scottish Widows and Interactive Investor see green pension demand

Four in five jobseekers demand green policies (including pensions)

Scottish Widows’ first ‘Green pensions report’ suggests that green pensions are an attractive proposition for jobseekers, with 82 per cent citing green workplace policies as an incentive. A similar figure (83 per cent) viewed climate change as an important issue and expected their employer to take an active stance on ESG issues. The report, building on work carried out with campaign group Make My Money Matter, found 24 per cent of employees supporting more “sustainable personal finances” — into which green pensions are bundled — compared with 48 per cent who cited flexible working, 39 per cent for cost of living support, and 34 per cent for an attractive holiday package. Despite the demand for sustainable savings, only 25 per cent said they were knowledgeable about green pensions, while more than a third (37 per cent) of employers claimed to know nothing about them.

One in 10 Brits choose sustainable pensions

Interactive Investor reported that more than one in 10 (14 per cent) of British workers have chosen a sustainable pension, with Londoners (27 per cent) significantly overrepresented. The report, marking the start of Good Money Week, noted that sustainability focused investments have tended to underperform in the current economic crisis, but found reason for optimism in take-up rates for sustainable pensions. Besides 27 per cent of Londoners, 17 per cent of Midlands workers and 16 per cent of Scots said they had chosen sustainable pensions, according to figures from the forthcoming Great British retirement survey 2022. More than a quarter (26 per cent) of respondents said they were unaware it was possible to make the switch, however, suggesting that more must be done to educate scheme members about their options.