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- A $1.6 trillion investor group has demanded that HSBC reconfirm its climate commitments amid signs of retreat.
- HSBC delayed its 2030 net zero operational target to 2050 and placed key emissions goals under review.
- Investors cite governance changes and target reviews as risks to HSBC’s credibility on climate strategy.
A coalition of 30 institutional investors representing $1.6 trillion in assets has publicly urged HSBC to recommit to its net zero climate goals, following what they describe as “deeply concerning signals” from the bank that it may be deprioritizing its climate strategy.
The call, led by responsible investment NGO ShareAction, was made during HSBC’s annual general meeting (AGM) on Friday. The move follows the bank’s February announcement that it was postponing its goal to achieve net zero emissions across operations and supply chains by 20 years—from 2030 to 2050. HSBC also placed its interim targets for reducing financed emissions in high-carbon sectors under review, citing slower-than-expected global decarbonization.
“There are fundamental prerequisites, outside of our control, which impact our ability to meet our 2030 interim financed emissions targets and ultimately reach our net zero ambition,” HSBC stated in its February update. The bank cited barriers such as “technological advancements, diversification of the energy mix, market demand for climate solutions, evolving customer preferences, and government leadership and effective policy.”
In parallel, HSBC announced in November that Group Chief Sustainability Officer Celine Herweijer would step down. Her departure came after a leadership restructure that removed the CSO role from the bank’s Group Executive Committee—a change that has drawn criticism from climate-focused stakeholders.
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“After dropping its Chief Sustainability Officer from its executive committee and announcing plans to review its climate targets and policies in February, HSBC has sent deeply concerning signals around whether managing the rapidly multiplying financial risks of global heating is still one of its priorities,” said Jeanne Martin, Head of the Banking Programme at ShareAction.
At the AGM, HSBC’s outgoing Chairman Mark Tucker reaffirmed the bank’s overall commitment to becoming a net zero institution by 2050. However, he acknowledged that the bank is grappling with significant challenges in aligning short-term targets with market realities.
Following the meeting, ShareAction said it was disappointed HSBC did not directly address investor concerns around weakening short-term climate targets. However, the NGO welcomed HSBC’s willingness to meet and continue discussions with the investor group.
The pressure from institutional investors reflects growing scrutiny from the financial community on banks’ alignment with climate science and transition plans—especially as scrutiny mounts on whether long-term pledges are backed by credible interim actions.
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