A fifth of the money invested into the average pension in the UK is linked to deforestation, according to research.
The data was jointly collected by Make My Money Matter, a campaign that aims to highlight where pension money is spent, SYSTEMIQ, a “think-and-do tank” and Global Canopy, a non-profit that is working towards a deforestation free economy.
They found that every £2 out of £10 invested into pension funds was linked to deforestation, with the average saver investing £6,500 over the course of their life in businesses that directly or indirectly have links to high deforestation companies.
In total, £300bn of UK pension money was invested into companies that were associated with deforestation.
A poll commissioned by Make My Money Matter, which surveyed 14 million people, revealed that more than three quarters of pension holders would be unhappy to discover their savings were contributing to deforestation, with a quarter willing to switch to more sustainable providers.
The joint research showed that deforestation was the biggest concern for pension holders, ahead of fossil fuels, labour rights violations and weapons manufacturing.
“It has been too easy for pension funds to turn a blind eye to the deforestation risks hidden in the investments they make on our behalf. Those risks are hidden in the complex supply chains, often ignored by the companies involved,” said Niki Mardas, executive director at Global Canopy.