Hundreds of cross-party MPs call for fossil fuel investment to be dropped from their pension fund

A group of 200 current and former MPs has called for millions of pounds in fossil fuel investments to be cut from their pension fund, amid concerns about climate change.

The cross-party effort comes as world leaders gather in Poland for a major climate summit at which fossil fuel investment and the transition to greener energy sources are high on the agenda.

Among the investments in the House of Commons’ Parliamentary Contributory Pension Fund (PCPF) are £7.3m in BP – the joint highest individual holding – £2.9m in Shell and £3.7m in controversial mining company Rio Tinto.

In 2017 the funds were made public for the first time, revealing investments not only in oil giants but also tobacco companies and US tech firms like Amazon that MPs themselves have accused of avoiding tax.

These revelations came after years of pressure from a campaign to divest parliament was started in 2014 by a small group of MPs, including former Green Party leader Caroline Lucas.

With the recent report from the Intergovernmental Panel on Climate Change adding fresh urgency to efforts to tackle climate change many see divestment as a vital tool to help move away from fossil fuels.

Jeremy Corbyn became the 100th MP to back the Divest Parliament movement at the end of 2017, and the total number includes representatives from every major political party.

“We’re now a 200 strong cohort of cross-party MPs who believe it is morally indefensible for parliamentarians to be investing in companies which profit from wrecking our planet,” said Ms Lucas.

“MPs have a duty to take action to prevent the worst of climate change. One simple step we can take is ditching our investments in fossil fuels – and instead invest in clean, renewable energy, and low-carbon technologies.”

If the fund was to divest from fossil fuels, UK parliament would join a growing list of British and international institutions choosing this path.

In July Ireland became the first country in the world to pull all money in its national investment fund from greenhouse gas emitters.

Large pension funds and insurers have also taken similar measures, as have the city of New York, the Church of England and two thirds of UK universities.

“Preventing disastrous climate change will be the defining challenge of the next decade for world leaders,” said Lord Deben, former Conservative MP and chair of the government's Committee on Climate Change.

“The UK must show leadership by demonstrating that we are prepared to make the necessary choices. “

“This includes moving investment out of fossil fuels and towards renewables that are already proving that they can be built at the scale needed to power our homes and businesses.”

A PCPF spokesperson said: “In common with most large diversified investors, the PCPF currently has financial exposure to a very large number of companies and sectors.

"The decision to hold an individual share or bond in a company is made by the investment managers engaged by the PCPF.”

Money is high on the agenda at the COP24 climate summit in the Polish city of Katowice, specifically who is willing to provide it and how best to use it to combat climate change.

Pressure is growing on wealthier countries to give more of their money to developing nations to fund their transitions to greener economies.

Meanwhile a coalition of banks including ING and BNP Paribas have pledged at the event to use the billions in loans at their disposal to steer clients away from businesses that emit large amounts of greenhouse gases.