Make My Money Matter (MMMM) has launched a campaign calling on Aviva and Legal & General (L&G) to “step up” their stewardship of the fossil fuel industry and show “stronger leadership” on climate change.

The organisation stated that the providers had voted with Shell and BP’s management 44 times out of a total of 45 votes in the most recent AGM season.

MMMM said that it had focused on Aviva and L&G for its campaign due to their size and climate leadership, with both providers having set climate targets to help limit temperature rises to 1.5 degrees.

Both voted against Shell’s Energy Transition Strategy, noting the failure to align with net zero.

However, they voted in support of the chairs, CEOs, directors, remuneration, annual reports/accounts, and auditors at both Shell and BP.

MMMM’s campaign aims to support pension savers with Aviva and L&G to raise their concerns directly with the providers, alongside guiding businesses on how to ‘green’ their company pensions.

The organisation called on the pensions industry and their asset managers to “wake up to the climate emergency” and vote against the chairs, directors, remuneration, accounts, auditors and transition plans of all oil and gas companies that are not aligned to science-based targets for net zero.

This includes planning new exploration and development contrary to the International Energy Agency net-zero scenarios.

“Given the climate leadership Aviva and Legal & General have shown in recent years, we were shocked to see their almost complete support for Shell and BP at this year’s AGMs,” commented MMMM CEO, Tony Burdon.

“We call on the UK pensions industry to vote against the chairs, directors, remuneration, auditors and plans of these companies.”

An Aviva Investors spokesperson said: "Aviva Investors wholeheartedly agrees with the importance of decarbonising the economy and is committed to addressing climate change including through its stewardship activities, engaging with companies to bring about change. We take our responsibility to be part of the process for change seriously.

"The oil and gas sector are critical to the economy as a source of energy, while the users of energy seek to transition away from fossil fuels. We have found that a whole-economy approach, balancing both the demand for energy and the supply of energy can provide superior outcomes for our customers’ financial returns as well as delivering a sustainable outcome.

"Our stewardship approach and voting decisions take account of the overall economy and put customer outcomes at the heart of our decision making. Details of our approach can be found in our annual sustainability report."

An L&G spokesperson added: “As a large, global asset manager and owner we take our role as a responsible investor on behalf of our clients seriously, and engage on their behalf to raise corporate standards, provide governance, and promote best practice.

"Climate change is a critical issue of global concern and we are committed to engaging constructively with companies to aid the transition to a low carbon and net-zero economy.”

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