UK’s NatWest to tighten coal sector lending in gradual phase out -Breaking
© Reuters. FILEPHOTO: A group of people gathered outside the Natwest Northwich bank as COVID-19 spreads, Britain, March 24, 2020. REUTERS/Molly Darlington/File photo
LONDON (Reuters] – Britain’s NatWest has announced that it will no longer lend money to customers with coal-fired power stations or existing customers who are looking to expand their capacities. This is in line with its tougher climate policy.
Alison Rose, chief executive of the company, said that they had committed not to lend any new money to support new coal projects. They also pledged to eliminate lending to coal in the UK and around the world by 2024.
British banks group made the move as leaders from around the world met at the United Nations COP26 summit on climate in Scotland. Finance sector representatives are being pushed to increase global mitigation efforts.
NatWest, as part the stricter policy on coal (the most polluting fossil fuels), announced it would cease lending to British coal workers by October 2024.
A bank policy document seen at Reuters has shown that the new rule applies to UK customers and non-UK customers with UK coal production, generation, and related infrastructure.
NatWest confirmed that it will begin Jan. 1, and maintained its commitment to eliminate all lending from the coal sector by 2030.
Rose stated in an interview that she believes those targets will allow the industry’s rewired and reconfigured.
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