Today The Co-operative Bank unveiled a radical new Ethical Policy. The value of business turned away since launching its ethical stance in 1992 has now passed the £1 billion mark.
The bank revealed that its ethical positioning has helped underpin its strong performance, which saw further growth in 2008 despite the unfavourable economic conditions.
Responsible lending
Now The Co-operative Bank is restating its commitment to continue to lend responsibly, with more than a quarter of the bank’s corporate and business lending going to support social and environmental organisations.
Furthermore, the bank reiterated its pledge to fund £400 million of positive green initiatives and £25 million for microfinance, in line with its customers’ expectations.
“The bank’s Ethical Policy has led to more than £1 billion in unethical business being declined, but it has also contributed to a massive £3.8 billion net growth in our corporate lending.” David Anderson, Chief Executive
In the autumn last year The Co-operative Bank, which is unique in consulting its customers on who it will and will not do business with, initiated its fifth Ethical Policy consultation.
Customers count
A record 80,000 customers (including myself) responded to a detailed questionnaire inviting account holders to express their views on topics as wide ranging as human rights, international development, ecology and animal welfare.
In light of the results, from now on The Co-operative Bank will decline business in connection with unconventional oil sources (such as tar sands) and biofuels – the development of which has the potential for significant local environmental impacts and will accelerate increases in global greenhouse gas emissions.
Since the launch of the Policy, funding requests for fossil fuel extraction and production have resulted in the highest value of declines at £169m, followed by finance for cosmetic manufacturers utilising animal testing (£118m) and oppressive regimes (£112m).
Read more about The Co-operative Bank’s Ethical Policy. Not banking with the Co-op? Maybe it’s time you switched!
No recommended reading.
5 comments… read them below or add yours now
My kind of bank! Loyal customer for the past 8 years (when I learned about their ethical stance).
The co-operative are just a great example of how business can be done differently. Whilst we try and do the same, we are avid Co-operative fans and wouldn’t have it any other way.
The best bank in the UK, and the only bank with an ethical policy and customer consultation. They recently acquired the Britannia too.
@Becky: Welcome to Green Pepper and thanks for sharing your views with us. I’m glad to hear you’re fans of The Co-operative Bank.
@Peter Nevis: Definitely the “best bank” in the UK, especially in light of the recent financial crisis.
Dont expect them to be ethical to their customers. They are just as greedy and corrupt as the others.
Ethically dubious too – major political donors with an MP on the board. Why refuse cash from the arms industry while funding those who order the bombs dropped?
At least RBS et al are up front about being evil and greedy.