Climate change presents financial risk to the global economy. Financial markets need clear, comprehensive information on the impacts of climate change. To deliver this, the Financial Stability Board (an international monitoring body that monitors and makes recommendations about the global financial system) created the Task Force on Climate-Related Financial Disclosures (“TCFD”) to improve and increase the reporting of climate related financial information.
The TCFD has developed a framework to help organisations, such as the MNOPF, more effectively disclose climate related risks and opportunities. To comply, the Trustee must disclose the actual and potential impacts of climate risks on the Fund’s investment and funding strategy.
Regulations putting in place the TCFD disclosures apply to the MNOPF for the first time this year and the Trustee is pleased to announce that it has published its first climate change report for the fund year-ending 31 March 2023, which has been prepared in line with the recommendations of the TCFD and the statutory requirements prescribed by the Department of Work and Pension.
This builds on the Trustee’s long-term commitment to include consideration of financially material environmental, social and governance factors (including climate change) in its investment and funding strategy.