Council pension fund invests in oil

A PENSION fund administered by Glasgow City Council invests heavily in the companies most responsible for climate change, according to a new report.

The investments are held through the Strathclyde Pension Fund, which is administered by the city council and should be invested for the long-term benefit of pension fund members.

Oil, gas and coal companies are financially risky as government action on climate change threatens their long-term viability.

The report, by Common Weal, Unison Scotland and Friends of the Earth Scotland, found the Strathclyde fund invested £890 million in fossil fuels, it invested just £135m in renewable energy and social housing, and that Scottish Council Pension Funds have £1.7 billion in total invested in fossil fuels.

The Strathclyde Pension Fund invests £23.5m in BP, which is fracking and drilling for oil in the Arctic as well as having a history of campaigning against subsidies for renewable energy.

Strathclyde Pension Fund has the largest amount of fossil fuel investments of any of Scotland’s local authorities – more than six times as much as the second largest authority.

The fund has also invested in social housing at the Commonwealth Games Athletes Village.

The report identified a total of £135m of sustainable infrastructure investment, compared with £890m invested in fossil fuels.