Barclays has published a revised Climate Change Statement and Transition Finance Framework to progress its climate strategy and continue its focus on clients actively engaged in the energy transition.

Following Barclays’ commitment to finance $1tr of sustainable and transition finance by 2030, Barclays also releases a Transition Finance Framework to support that target and facilitate the transition finance needed to decarbonise high-emitting sectors.

The updated Climate Change Statement mean there will be no project finance, or other direct finance to energy clients, for upstream oil and gas expansion projects or related infrastructure. There are also restrictions for new energy clients engaged in expansion, on non-diversified energy clients engaged in long lead expansion and on unconventional oil and gas, including Amazon and extra heavy oil.

There are reporting requirements for energy clients to have 2030 methane reduction targets, a commitment to end all routine/non-essential venting and flaring by 2030 and near-term net-zero aligned Scope 1 and 2 targets by January 2026, with an expectation for energy clients to produce transition plans or decarbonisation strategies by January 2025.

The policy has been informed by engagement with stakeholders including ShareAction.

Laura Barlow, group head of sustainability, said, “Addressing climate change is a critical and complex challenge. We continue to work with our energy clients as they decarbonise and support their efforts to transition in a manner that is just, orderly and addresses energy security. Today we strengthen our commitment to the energy transition, with policies that will focus our capital and resources to the energy companies that play a key role in the transition.”

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