Archive for May, 2014

Barclays responds to criticism on financing ‘mountain top removal’

May 20, 2014

Dear Stakeholder

Thank you for your email to Antony Jenkins raising concerns about Barclays’ reported financing of companies that practise mountain top removal coal mining. We are in the process of establishing the background to these allegations and the details of the transactions involved – which were not made clear in the reports provided.

I would like to take this opportunity to highlight that Barclays has a longstanding commitment to understanding the environmental and social risks associated with our lending activities: these are supported by stringent environmental and social impact assessment policies and practices together with risk escalation procedures.

These standards are applied across the business and are an integral component for decisions with potential for material social and environmental impacts. We always aim to take a responsible approach and give careful consideration to such impacts before decisions are approved. When we are asked to finance a specific development project, we apply the Equator Principles – detailed environmental and social criteria applicable to project finance transactions covering issues including local community consultation, the impact on indigenous peoples and cultural heritage sites, relocation of communities and related compensation. This approach to responsible lending applies equally to clients in the coal mining sector as to other industrial sectors.

We will continue to investigate this matter thoroughly and address appropriately should we find that Barclays has not acted in accordance with these standards.

Thank you once again for taking the time to contact us.

Yours sincerely

Philippa Birtwell
Group Citizenship