As well as high street banking, it may also be that your pension could also be greener. Whilst many UK providers are working towards a ‘net zero’ position in terms of carbon emissions linked to their default investment portfolios, most employers will offer an ‘ethical’ or ‘sustainable’ fund, and research indicates that moving a £100,000 pension pot from a traditional to a positive impact portfolio is equivalent to taking 5 or 6 cars off the road (Financial Times, 26 Feb 2021).
Accessing your options and making a switch should be an extremely easy thing to do. Your employer or pension provider will be able to provide a full list of the investment options available and look out for an ‘Ethical’ or ‘Sustainable’ Growth (ESG) fund option. From there you can instruct your provider to move some,or all, of your existing and future contributions to the new fund, and they will do the rest.