New for 2011

The Co-operative Bank's Ethical policy will be extended to the £1bn of investments underpinning key insurance products.  Since the Ethical Policy was introduced in 1992, The Co-operative Bank has withheld over £1billion of funding from business activities that its customers say are unethical.  Whilst at the same time, increasing it's commercial lending sixteen fold to almost £9 billion.  We will also extend our commercial lending in the area of energy efficiency and renewables from £400m to £1bn.

Human rights

"We will not finance any organisation that advocates discrimination and incitement to hatred."

The right to freedom of speech underpins the values of a democratic society and individuals and organisations should be free to express their views or beliefs. However, 99% of customers who participated in the review supported the bank's decision to withhold finance from those extremist organisations that advocate not only discrimination but hatred.

"We will not finance the manufacture or transfer of indiscriminate weapons, eg cluster bombs and depleted uranium munitions."

International Humanitarian Law prohibits indiscriminate attacks on civilians and places restrictions on the use of certain weapons and tactics (eg cluster bombs). 99% of customers who participated in the review supported the bank's decision to withhold finance from businesses involved in the manufacture or transfer of indiscriminate weapons to any government.

International development

"We will not finance organisations that fail to implement basic labour rights as set out in the Fundamental ILO Conventions, eg avoidance of child labour, or that actively oppose the rights of workers to freedom of association, eg in a trade union."

98% of customers who participated in the review agree that businesses should respect Fundamental International Labour Organisation Conventions on issues such as child labour and freedom of association and support the bank's decision to withhold finance from those who do not.

"We will not finance organisations that take an irresponsible approach to the payment of tax in the least developed countries."

98% of the customers who participated in the review support the bank's decision to deny finance to those multinationals that avoid paying tax in the least developed countries through the use of tax havens.

"We will not finance organisations that impede access to basic human necessities, eg safe drinking water or vital medicines."

Malaria, TB and HIV/AIDS, are major public health challenges that undermine development in the poorest countries in the world. According to the World Health Organisation 1.1 billion people have no access to any type of 'improved' drinking source of water. 99% of customers who participated in the review supported the bank's decision to withhold finance from those businesses that systematically restrict access to safe drinking water or vital medicines in developing countries.

"Furthermore, we will support fair trade and the provision of finance to the working poor in developing countries, via microfinance."

98% of customers who participated in the review also supported the explicit statement made by The Co-operative Bank to support fair trade and the provision of finance to the working poor in developing countries via microfinance. Microfinance is the provision of loans to some of the world's poorest people, giving them the means to work and trade their way out of poverty.

Ecological impact

"We will not finance any business whose core activity contributes to global climate change, via the extraction or production of fossil fuels (oil, coal and gas), with an extension to the distribution of those fuels that have a higher global warming impact (eg tar sands and certain biofuels)."

The high price of oil and technological advances mean the exploitation of unconventional fuels, such as tar sands, is now viable. Given the global imperative to deal with climate change, it is concerning that some businesses have begun to invest in these fuels whose extraction and production requires much more energy and therefore has a much higher impact on climate change than conventional fuels. 90% of customers who participated in the review supported the bank's decision to extend our policy on climate change to withhold finance from businesses involved in the distribution of fuels with a higher global warming impact.

"We will not finance any business whose core activity contributes to the development of nanotechnology in circumstances that risk damaging the environment or compromising human health."

Nanotechnology has the potential for important social benefits, for example through the supply of cheap clean water, portable renewable energy or the replacement of hazardous chemicals. However, at the same time there is uncertainty over the potential environmental, health and safety risks of some applications of nanotechnology. 90% of customers who participated in the review supported the bank's decision to only finance those businesses that consider these risks.

Animal welfare

"We will not finance any organisation involved in the exploitation of great apes, e.g. in experimentation or general commercial use."

Great apes, such as gorillas and chimpanzees, are highly intelligent, emotional creatures - which is why the UK has banned their use in experimentation. However, in some countries the use of great apes in experimentation is still permitted. 96% of customers who participated in the review agreed with the bank's decision to withhold finance from organisations involved in the exploitation of great apes.

What do you feel passionate about?

It could be something in the news headlines or an issue that touches your life every day.

Animal testing? Fair trade? Climate change? Child labour?

The views and concerns of The Co-operative Bank customers have shaped the Ethical Policy for over 16 years, and their views have shaped our Ethical Policy - ultimately deciding how we invest their money. We understand that people's views can change, so we will continue to ask our customers their opinions, in order to ensure that our policy remains an up-to-date reflection of their concerns.

Download The Ethical Policy in full (opens in a new window as a pdf).