NET ZERO ALIGNMENT
Hargreaves Lansdown is committed to reaching net zero across all emissions by 2050 at the latest. We have set out interim targets too, and detail our road map to reaching these targets in our climate transition plan. Read more about our commitments below.
By “net zero”, we mean that all associated greenhouse gas emissions – that goes beyond carbon dioxide – from all of our operations and supply chains will be reduced as much as possible and any residual emissions that can’t be reduced will be balanced through offsetting.
HL’s Net zero commitment
Hargreaves Lansdown (HL) is committed to reaching net zero across all emissions by 2050 at the latest. We are committed to reaching net zero operational emissions in our core offices by 2030 and are currently developing a Group-wide transition plan to guide our short, medium and long-term climate ambitions.
As a fund manager, we are also working to reduce the carbon intensity of the assets we manage by
by 2030 from the baseline in 2019.
We aim to align our efforts with the goals of the Paris Agreement, striving to limit global warming to well below 2°C above pre-industrial levels, aiming for
1.5°C
This is achieved by:
- Excluding companies with significant exposure to thermal coal and oil sands
- Considering climate-related risks and opportunities in investment decisions
- Engaging with higher-emitting companies, including firms such as Shell and Rio Tinto, to encourage credible transition plans while protecting long-term shareholder value
The carbon intensity of our investments has reduced by 31% since 2019.
You can learn more about our strategy for reducing our investment-related emissions in our climate transition plan. Climate and nature are inextricably linked. We understand the importance of taking action on preserving and restoring nature in mitigating and adapting to the climate crisis. In particular, we are engaging with policymakers on deforestation to introduce more regulation. Find out more in our Stewardship & Engagement Report. Additionally, you can learn more about HL’s approach to responsible investment on our website.
Scope and Boundaries: Our current interim target covers our listed equity and corporate bond investments, approximately 90% of our total assets under administration. The interim target focuses on the Scope 1 and Scope 2 emissions of our investee companies. Scope 1 emissions are direct greenhouse gas emissions from sources that a company owns or controls, such as fuel used in company buildings, vehicles, or industrial processes. Scope 2 emissions are indirect greenhouse gas emissions from the generation of purchased energy, such as electricity, heating, or cooling consumed by the company. Scope 1 and Scope 2 emissions are typically included in net zero targets because they are considered to be within a company’s operational control and can be directly influenced through efficiency measures, operational changes, and energy procurement decisions. We have chosen December 2019 as the baseline for our targets. This date aligns with the IPCC assessment, which emphasises the imperative to reduce greenhouse gas (GHG) emissions by 43% by 2030, relative to 2019.
LGIM has also committed to bringing all the assets under their management to net zero by 2050 at the latest. Our default strategy the ‘HL Growth Fund’ is managed by Legal and General Investment Management (LGIM). Within the HL Growth Fund, 77.0% of the assets are on a decarbonisation pathway. That means they have managed to achieve a carbon intensity reduction year-on-year, until they reach net zero by 2050. Today, these investments have less than half of the carbon intensity compared to their non-ESG equivalents. So they have a reduced environmental impact compared to investing without a decarbonisation strategy. The investments within the fund which are net zero aligned are:
All data based on strategic target asset allocation as at 30 September 2025. Actual allocation may vary.