Barclays ESG Investor Presentation 2021
Environment
Social
Financing
Governance
Managing environmental risks, social risks and exposures
Enhanced
Due Diligence
(EDD)
Escalation and
decision
Origination, review and approval
Process led by front office business teams,
Sustainability and ESG team and/or Climate Risk team
Detailed annual review for in-scope clients on
environmental/social issues, to determine whether
further engagement is required prior to transacting
Initial escalation following EDD is to the appropriate
business unit review committee
Climate-related exposures
Reporting climate risk exposures in alignment with TCFD
recommendations
Carbon-
Elevated
related
More material issues escalated to Climate Transaction
Review Committee or Group Reputation Risk
Committee (both with Group ExCo representation)
assets²
2021
15% Total L&A³
£707bn
(lending
portfolio)
85%
risk
exposures4
(£bn)
50.5
46.5
2020: 16% out of
Monitoring
Further client engagement calls in relation to the
specific environmental and social risks that we have
identified as part of our EDD process
9031 reviews undertaken in 2021 (2020: 912)
total L&A of £676bn
Mining
2020
2021
9031
14
36
Agriculture
12
215
4
Business & Professional Services
Chemicals
30
Manufacturing
Metals & Mining
Oil & Gas
70
24
Commodity Traders
Construction & Engineering
236
24
Defence, Aerospace & Security
Infrastructure & Transportation
Paper & Forestry
Power & Utilities
Waste
Others
Financing
(capital
markets)5
202
25
2021
Utility & Energy,
Oil & Gas,
Mining: 6.6% of
total financing of
$548bn
2020: 9.0% of total
financing of $507bn6
General 4.32%
Oil & Gas
Diversified 9.37%
Exploration & Development 6.94%
Field Equipment & Services 4.46%
Pipeline 5.95%
Refinery/Marketing 1.22%
Utility & Energy
Diversified 25.60%
Electric power 33.69%
Gas 8.45%
Includes a combination of annual due diligence reviews and individual transaction reviews | ² Assets tied to the energy, transportation, materials and buildings, and agriculture, food and forest products sectors | ³ Loans and advances including loan commitments |
4 Quantitative credit exposures to sectors sensitive to the impacts from climate change. These figures do not represent elevated carbon emission exposures and should not be interpreted as an indicator of relative carbon intensity | 5 Sourced from Dealogic |
6 Recalculated by Dealogic as data on deals is confirmed throughout the year. In Barclays TCFD Report 2020, our 2020 total financing figure was reported as $504bn |
30 | Barclays ESG Investor Presentation 2021 | 23 February 2022
BARCLAYSView entire presentation