In a major election campaign speech on the economy, the British Shadow Chancellor John McDonnell said Labour would amend legislation to force listed firms to take action on climate change or face expulsion from the London Stock Exchange.
The Labour Party first promised to de-list companies for climate reasons in June 2019. McDonnell presented the pledge a second time today as part of Labour's vision to improve long-term thinking in the financial industry. It now promises to be a key plank of the Party's economic policy.
"If we are to meet the climate change target to keep global warming to 1.5C above pre-industrial levels, we need to ensure that companies are also working alongside government. Many now are," McDonnell said. "But business bodies themselves are calling for companies to improve climate-related financial reporting, and for all companies to bring forward their decarbonisation plans. And we support those proposals. But for those companies not taking adequate steps under Labour, we believe those companies should be de-listed from the London Stock Exchange," he continued.
The environment has already proved to be a major issue in the election campaign, with Labour, the Liberal Democrats, the Conservatives and the Green Party all promising to tackle the climate emergency.