Havering Council is integrating climate risk considerations into its pension investments, a key focus of the recent Local Pension Board meeting.
The board reviewed feedback from Pensions Committee meetings in November and December, including a presentation of the Task Force for Climate Related Disclosure (TCFD) Report. The report detailed the committee's achievements up to 31 March 2025 and outlined plans for 2025/26. A central component of these plans involves addressing climate change as a long-term financial risk.
Specifically, the Committee has developed investment beliefs that recognise climate change and the transition to a low-carbon economy as long-term financial risks to the Fund's outcomes. These beliefs are being incorporated into the ongoing implementation of the investment strategy.
As part of the plan for 2025/26, committee members attended an Investment Beliefs Workshop and training on Local Investment. The investment advisor recorded the views of members, which will be incorporated into the Investment Strategy Statement to be presented at the March 2026 Pensions Committee meeting. This statement will outline how the council plans to mitigate climate-related risks to its pension investments.
The Committee agreed to the climate-related disclosure report for the year ending 31 March 2025 and noted plans for 2025/26.
Climate risk is also addressed in the Pension Fund Risk Register. The register identifies climate change as a potential negative impact on financial outcomes, such as stranded assets and carbon taxes. Mitigations include the development of investment beliefs that recognise climate change and the transition to a low-carbon economy as long-term financial risks. These beliefs are incorporated into the ongoing implementation of the investment strategy.
The minutes of the 11 November 2025 Pensions Committee meeting and the agenda for the 16 December 2025 Local Pension Board meeting are available online.