Today’s ESG Updates
- DWS Fined €25 Million for Greenwashing: Deutsche Bank’s asset manager DWS hit with a €25 million fine over misleading ESG claims.
- EU Seeks Public Input on Budget: The EU Commission launches consultations to shape future budget on decarbonisation and military spending.
- China Restricts US Investments: China halts investment approvals in the US amid rising tensions and trade uncertainties.
- Homes England Launches Greener Homes Phase 2: New scheme commits £150 million of funding to energy-efficient housing development.
Deutsche Bank’s asset manager DWS fined €25 million over ‘greenwashing’ scandal
News broke today that DWS (Deutsche Bank’s asset manager) has been fined €25 million, which activists are calling one of the biggest ‘greenwashing’ fines yet. The fine has come after years of the firm dodging claims of greenwashing as they falsely advertised ESG claims and sustainability credentials. In 2023, DWS had already been fined a then-record $19 million by the US for misleading green statements. Since the scandal, the asset manager has scaled back sustainability efforts in an effort to hold a reputation. Cases like DWS are the voice for more ESG policing and standardisation needed in the rapidly changing sustainability landscape. Experts agree that incorporating ESG solutions into businesses is now an essential requirement in the market.
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Further reading: Deutsche Bank-owned asset manager DWS fined $27 million for greenwashing
EU Commission invites stakeholders and citizens to have their say in the future EU Budget
The EU Commission has launched 6 public consultations inviting stakeholders and citizens for their input on the future of the EU Budget and policy directions. Many of these are relevant to the financials and investments required for the EU to meet decarbonisation targets. With current projections, the EU needs to spend €570 billion between 2021-2030 and an additional €690 billion over the coming decade in renewable energy investments to meet the targets. The EU’s next long-term budget, the multiannual financial framework (MFF), starting in 2028, will be crucial to hitting targets and bolstering the EU’s growing military efforts. This is an unmissable opportunity for businesses to have their say in the financial sustainable direction of the EU market.
Photo Credit: European Commission
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Further reading: Energy in the next long-term EU budget: Commission invites input
Tensions rise as China restricts companies from investing in the US
As ever more controversial decisions are made by the Trump administration, China has taken steps to restrict local companies from investing in the US. In an attempt to gain leverage over the US, several branches of China’s top economic planning agency (the National Development and Reform Commission (NDRC), have been instructed to hold registrations and approvals for US investments. It is unclear as to why the NDRC has halted such procedures but with China’s total of $6.9 billion outbound US investments in 2023 on the line and growing tension between two superpowers in the form of tariffs, actions point to a stumble in confidence towards US investments.
Photo Credit: Maccy
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Further Reading: China Restricts Companies From Investing in US as Tensions Rise
Homes England Octopus Real Estate launch Phase 2 of the Greener Homes scheme
Homes England has joined forces with Octopus Real to create Greener Homes Alliance 2. The alliance will commit £150 million of funding, including £42 million worth of loans to SME housebuilders for energy-efficient housing development. Phase one of the alliance made a significant impact, with Phase two aiming to build on that success with ten new criteria. Developers can benefit from a 2% discount if six or more of the criteria are met and must ensure all buildings have an SAP score of 85 or above. The scheme pushes for modern methods of construction and provides real living wages to workers in an effort to make housing more sustainable. Real estate businesses can incorporate sustainable solutions with ESG tools to benefit from incentivised schemes.
Photo Credit: James Feaver
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Further reading: Homes England and Octopus Real Estate launch £150 million Greener Homes Alliance phase 2
Editor’s Note: The opinions expressed here by the authors are their own, not those of impakter.com — Cover Photo Credit: Wikimedia Commons
