Our Responsible Investment Report 2025 shows strong progress towards net zero, while continuing to support local investment and long‑term value for members.

Progress on net zero 

We’re pleased to report that we’re moving faster on our net zero goals than anticipated:  

• 71% reduction in the carbon footprint of our equities (shares in companies) since 2020. We’re already meeting our 2030 target.
• 65% reduction in the carbon footprint of our corporate bonds (loans to companies) since 2020.
• Around 15% of our investments support climate solutions such as renewable energy. 

As a result of being ahead of schedule, we’ve updated our 2035 climate targets to maintain ambition.

Using our voice and votes as investors

Active engagement with the companies we invest in remains at the heart of our approach:

• 71% of the emissions from high-impact, hard-to-decarbonise industries such as aviation, cement, and steel sectors are already taking steps to achieve net zero or actively engaging on how to improve. We beat our 2024 engagement goal and are building momentum towards 90% by 2027.
• Working with Brunel Pension Partnership and EOS at Federated Hermes, we engaged 382 companies. Key topics included climate risk, transparency, governance, and other ESG issues.

Growing local impact across the South West

Our Local Impact Portfolio is on track to reach £300 million by 2027. It’s already bringing benefits, with over £50 million invested in:

• Renewable energy - including regional solar projects
• Affordable housing - new homes where they’re needed most
• Small and medium-sized enterprises - backing high‑potential local businesses

These investments help local economies and create skilled jobs.

Looking ahead

Our future plans include investing in natural capital, supporting biodiversity alongside our climate goals. 

In April 2026 the Fund will move to a new investment pool, the Local Pension Partnership Investments. As we enter this new chapter, we remain committed to high standards and continued progress towards net zero.

Read the full Responsible Investment Report

Our members LGPS pension benefits are guaranteed by law and do not depend on investment returns.