PAS 7340 – framework for embedding the principles of sustainable finance in financial services organizations

Growing awareness of the urgent need to address global sustainability issues has driven increasing numbers of financial institutions to integrate environmental, social and governance issues into investment and ownership decisions.

In collaboration with the Department for Business, Energy & Industrial Strategy BSI has produced PAS 7340 – ‘Framework for embedding the principles of sustainable finance in financial services organizations’. This knowledge provides a framework for financial services organizations to better align themselves with global initiatives like the United Nation’s Sustainable Development Goals (UN SDGs) and the Paris Agreement.

These social and environmental threats require action from the finance sector. Finance plays a central role in society, providing services to investors, borrowers and lenders to ensure proper risk management and efficient allocation of capital. Now, by aligning with climate goals, it could also help to deliver new jobs, mitigate climate change, improve public health, enhance monetary resilience and more.

A variety of key business in the finance sector have already adopted this and other standards to create a more sustainable business and increase knowledge of sustainable finance. The below case studies highlight current good practise in sustainable finance