Defined contribution schemes used for automatic enrolment are required to have a default option into which the member is enrolled, unless they specify an alternative. We recommend that the Government consult on the case for mandating that these default options should align to UK Government climate goals.

Defined contribution schemes used for automatic enrolment are required to have a default option into which the member is enrolled, unless they specify an alternative. We recommend that the Government consult on the case for mandating that these default options should align to UK Government climate goals. Type: recommendation | Number: 12 | Paragraph: 45 | Response status: under_consideration Government response: The Government understands the intention of this recommendation, though is concerned that mandatory alignment with climate goals might force immediate divestment from high carbon stocks, regardless of whether or not companies are making meaningful progress towards net zero. In this case trustees wou