Cracking climate change announcement by BoE takes the piss, shows the way
Narky central bank can’t be arsed to stop global doom
The U.S. Federal Reserve is treading carefully with raising rates amid the widespread economic, macro and geopolitical uncertainties sweeping around the world. The Fed raised its target level as high as 20% in the early 1980s to deal with runaway inflation, but we're a far cry from that today — a time when inflation threatens Read More
BoE Addresses The Climate Change Crisis
LONDON -- Early this morning, journalists received a miraculous press release from the Bank of England, Britain's central bank, claiming it would stop buying corporate bonds from fossil fuel companies. BoE had seemingly resolved to follow through on its longstanding promises to address climate change. At least one global coalition of central banks, the Network for Greening the Financial System, seemed to follow up the BoE's announcement with enthusiasm and applause.
But then, equally suddenly, it all came crashing down. BoE seemed to indignantly deny the announcement, pledging to take legal action against the "irksome jesters" who’d brazenly "led the vulnerable British public on a primrose path to mad hope."
It was all a hoax, mounted by the Yes Men. The goal of the whole argy-bargy: to show that the Bank really could act in this manner, and to help raise pressure on them to follow through on the meaningful action on climate change they have actually promised.
"We wanted to show how it would feel—even for a split second—if a central bank took steps to protect against climate calamity," said Jeff Walburn of the Yes Men. "Andrew Bailey and other heads of the Bank of England have acknowledged that the threats are clear, but rather than walk their talk on climate risk, they keep dragging their well-heeled feet."
Aligning Operations With The Paris Agreement
Whereas Bailey's predecessor, Mark Carney, led the bank towards addressing the climate crisis, Bailey has so far ensured that the bank lags far behind the leaders of the European Central Bank, who have stated support for aligning the bank’s operations with the Paris Agreement.
The bank will publish its Financial Stability Report this Friday, 11 December, the second since Bailey has taken office. Today’s action shows the path that Bailey could set out in this report if he chose.
"This action modelled exactly the steps that should be taken," said Anna Vickerstaff, UK Campaign Lead at 350.org. "It shouldn’t be left up to activists to put these words in Andrew Bailey’s mouth. Ditching carbon bonds would be a bare minimum, common-sense move for the economy and the climate. On the five-year anniversary of the Paris Agreement, and in the midst of a global pandemic and economic crash, now is the time for Chancellor Rishi Sunak and Bank of England Governor Andrew Bailey to show leadership and meet public needs. That means stopping finance flowing into climate-wrecking fossil fuels and directing investments towards initiatives that provide secure jobs and an assured future for people and the planet."