(Monday 11th November) Reacting to the Financial Reporting Council's (FRC) proposition to amend the definition of stewardship in the launch of its Stewardship Code consultation today, Fergus Moffatt, Head of UK Policy at ShareAction, said:

“Long and frequent heatwaves, more intense storms and flooding, and even freezing winters are all signs of how global heating is affecting our country. At the same time, economic uncertainty, job insecurity and regional inequality are putting ever-increasing strains on our social fabric.

"As the impact of these challenges on our lives become more apparent every day, it's concerning that one of UK’s most important regulators is suggesting amending the definition of stewardship in the Stewardship Code to remove explicit references to social and environmental outcomes.

“The Stewardship Code sets high standards for those investing money on behalf of UK savers and pensioners and those who support them. It’s designed to make sure investors are safeguarding the interests of these savers and asset owners through the influence they have over the companies they invest in.

“Responsible stewardship must include consideration of companies' impact driving dangerous levels of global heating, inequality and poor public health on the future savers will retire into. ShareAction is calling on the Financial Reporting Council to scrap this proposed re-definition of stewardship and stick to its original, which clearly references the key role investors have to play in addressing interrelated social and environmental challenges, by placing climate change and social impacts at the heart of effective stewardship standards.”