Money in a low-carbon, sustainable society

BYM’s commitment to become a low-carbon, sustainable community will require many changes. One of these could be to examine how we bank, save and invest our money.

On investment, Quaker faith & practice (Fourth edition – 20.56) advises “thought should be given, not only to security and the rate of interest, but to the conditions on which the investment may have on the welfare of all, through social or environmental impact, at home or elsewhere”. 

Whether we have a little or a lot, where we put our money matters. Our bank accounts, pension funds and investments make us all a part of the global financial system. Depending on where we put our our money it could could be used to finance the development of renewable energy, affordable and sustainable housing or projects that help to overcome poverty. Alternatively, it might be loaned to companies that cause pollution, undermine human rights or harm the communities in which they operate.

Making ethical financial choices is therefore one of the many ways we can express our values. At a time when a huge increase in financing is required for the development of sustainable energy and for the reduction of poverty in the developing world, it can also make a practical difference towards creating a low carbon, sustainable and just world. None of these concepts will be new to Friends. But translating a desire to use our money in a way that supports our testimony can, at first, seem a daunting task. Not only does it require knowing what ethical and sustainable finance options are available, it means matching those options to our values and having to balance different and sometimes competing ethical priorities. As Quaker faith & practice reminds us, all of this needs to be balanced against financial considerations. Those investing on behalf of a charity also have legal requirements to consider.

The good news is that there is an increasing number of options and help available for Friends seeking to bank, save, invest or even borrow ethically. A good time to start thinking about these issues is National Ethical Investment Week (NEIW) taking place from 16 -22 October. A co-operative campaign organised by ethical investment organisations, charities and faith groups, NEIW aims to raise the profile and share the positive impact of green and ethical investment. Its website gives information about ethical banking and finance options and a guide to help churches take action.

The Ecumenical Council for Corporate Responsibility has produced two resources. Its user friendly Guide to Investing and Engaging with Companies explains how church investments provide opportunities for dialogue with companies and fund managers. It also gives some practical dos and don'ts of dialogue and engagement. Its recent report The Banks and Society: Rebuilding Trust explains the ethical issues connected with the banking sector and is a good introduction for those wanting to understand what their bank does with their money.

Another excellent resource is yourethicalmoney.com a not for profit website which enables users to compare the ethics of different banking, pension, mortgage, insurance, credit card and insurance providers.

In 2012 there are also two opportunities for Friends to think about money in a Quaker context. A Woodbrooke course ‘The World in Your Wallet’ on 23-25 March will provide a framework to enable participants to explore different ways of relating to money and could help to make changes to the way in which you, and perhaps your meeting, choose to use it.

The Annual Conference of Treasurers 29 June-1 July will have a session on ethical investment designed to enable meeting treasurers to share experience of and find out more about investing ethically on behalf of their meeting.

These are just some of the tools that exist to help those of us who want to use our money to make the world a better place. Why not take a look at them?

Resources on money and investment

National Ethical Investment Week: www.neiw.org

The Ecumenical Council for Corporate Responsibility: www.eccr.org.uk

Is your money working for the world?

A study pack for individuals and groups to help bridge the gap between faith and practice. [PDF: 605 kb](Reproduced here with the permission of the Joseph Rowntree Charitable Trust)

Your Ethical Money: www.yourethicalmoney.com

Woodbrooke: www.woodbrooke.org.uk

Annual Conference of Treasurers: www.quaker.org.uk/treasurers from December 2011

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