Finance
BOE Considers Raising Capital Costs for Pollution in Green Push
Electricity pylons stand near to the cooling towers at a coal-fired power station in Ratcliffe-on-Soar.
Photographer: Chris Ratcliffe/Bloomberg
This article is for subscribers only.
The Bank of England is considering making it more expensive for banks to finance polluters, extending its fight against climate change.
A “brown-penalizing factor” imposing additional capital requirements for environmentally harmful business is under discussion among central bank officials, Mark Carney, the outgoing BOE governor, said in a Feb. 27 letter to U.K. members of parliament and released today.