RBS Nationalisation: Call for Environmental Regulation

Not only has the Royal Bank of Scotland helped to bring turmoil into the global financial markets, and the UK to the brink of economic crisis, their irresponsible lending also threatens to hasten climate crisis.

2008 RBS wind-up globe walking over the edge

Will RBS investments tip the world’s climate over the edge?

RBS’ irresponsible lending reveals unacceptable risk taking - on the one hand gambling with the economy, on the other gambling with the climate. The bank have been bailed out of financial crisis by a massive government cash-injection. The government are poised to own up to 60% of RBS’s shares, as well as places on the bank’s board. But what has been done to tackle the ‘climate crunch’? Whilst the UK government may be able to miraculously stump up an unprecedented amount of cash to bail out its major private banks in a financial disaster, the same kind of financial muscle is not being flexed in the face of climate disaster.

Leading UK NGOs, People & Planet and Platform among them, are demanding that environmental conditions be set for what is essentially financial aid for the UK’s leading private investors in the fossil fuel industry. They are demanding that the government’s bail-out is made contingent upon a full disclosure of RBS’ fossil fuel investments, as well as a commitment to cap and reduce the emissions embedded within the projects they finance.

With RBS as the central target, how does its part nationalisation impact on People & Planet’s Ditch Dirty Development Campaign? We appear to be faced with a unique window of opportunity. Rather than stepping back and letting events play themselves out, this is a great opportunity to get our demands on the agenda. As RBS and the financial sector is restructuring, now is the moment to present our climate criteria for this transformation.

Students protest at RBS' presence at the National Graduate Recruitment Fair

Protest at RBS’ investments in unsustainable futures

In London, P&P students did precisely this - highlighting the future risks of a ‘climate crunch’ with their action against RBS at the Olympia graduate recruitment fair. Even The Guardian, whilst covering their action, agreed with London P&P that now is the time to

get active, not just hide beneath the sofa… RBS just can’t afford to lose the future when everything looks so dubious in the present, so at the very least if this pressure carries on they will have to do more than make soothing noises.

And London P&P are not the only ones. Across the country, P&P groups are planning and taking action at RBS’ graduate recruitment fairs, investigating where their SUs and universities have their money invested, and building the boycott threat.

For more information on Ditch Dirty Development strategy, or ways to get involved with graduate recruitment actions contact Hannah at the P&P office.

Irresponsible lending has brought about a financial crisis. Irresponsible investments in oil, gas and coal projects has just as much potential to bring about a climate crisis. A major different is, however, that nature doesn’t do bail outs.