Lloyds Banking Group

Overall approach

3/10
- Overarching commitment on deforestation
  
  0/6
- Deforestation as a business risk
  
  2/2
  
  Yes
  
  2/2
  
  Is the financial risk recognised by the financial institution reputational, financial, material, etc.?: Not disclosed
  
  How is awareness shown?: Signatory to the BEIs Soft Commodity Compact or another finance sector initiative on deforestation; Statement on deforestation/conversion showing understanding of risks to the financial institution
  
  "The Group is a signatory to [...] the Banking Environment Initiative & Consumer Goods Forum ‘Soft Commodities’ Compact, which supports transformation of the soft commodities supply chain and drives efforts toward zero deforestation by 2020." [...] "Managing our risk appetite to a number of sectors is a critical part of our sustainability strategy. Our external sector statements set out our risk appetite for lending to these particularly sensitive sectors: We will not support businesses involved in deforestation or the burning of natural ecosystems [...]"
  
  Open source document Open source document
- Target to reduce emissions in scope 1/2
  
  Yes
  
  0/0
  
  Type of climate target: Other/unclear
  
  What is the target date for the financial institution to achieve their climate target?: 2030
  
  "We have set an ambitious goal to work with customers, Government, and the market to help reduce the carbon emissions we finance by >50% by 2030"
  
  Open source document
- Company must have anti-corruption policy
  
  1/2
  
  Yes, either an anti-corruption policy or a policy on prohibiting abusive tax arrangements
  
  1/2
  
  "In all sectors, and especially those which experience heightened exposure to sustainability and human rights risks, we aim to work with customers who [...] align their operations with the principles of this framework and with the United Nations Global Compact’s labour, environment and anti-corruption standards." "we look for a robust and transparent approach to anti-bribery and corruption practices."
  
  Open source document
Commodity score

15/90
- Beef & Leather
  
  4/90
  - Commitment Strength
    
    5/31
    - Commodity-specific deforestation financing policy
      
      0/9.6
      - Commitment details
        No commitment
        
        0/8
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must be legally operated
      
      4.6/4.6
      - Commitment details
        Companies entire supply chain - Required
        
        3/3
        
        Commitment details
        
        Companies entire supply chain - Required
        
        3/3
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all operations and financing
        All financing
        
        0.4/0.4
        
        Policy applies to all operations and financing
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all deals
        All financing
        
        0.4/0.4
        
        Policy applies to all deals
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all companies
        All financing
        
        0.4/0.4
        
        Policy applies to all companies
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all stages of the supply chain
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        Policy applies to all stages of the supply chain
        
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
    - Companies must monitor operations
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must conduct risk assessments
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must specify a cut-off date
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
  - Social Considerations
    
    0/27
    - Company must ensure Free, Prior and Informed Consent
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must have a grievance mechanism
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Company must respect labour rights
      
      0/5.6
      - Commitment details
        No
        
        0/4
        
        Commitment details
        
        No
        
        0/4
        
        Type of policy: UNGP
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Company must address gender equality issues
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must encourage the inclusion of small-scale farmers
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must resolve land conflicts
      
      0/1.6
      - Commitment details
        No
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
  - Reporting and Implementation
    
    0/31
    - Commitments must be timebound
      No
      
      0/5
    - Companies must disclose subsidiaries in commodity supply chains
      No
      
      0/4
    - Companies must disclose locations
      No
      
      0/4
    - Policy is reviewed and updated
      No
      
      0/2
    - Monitoring and non-compliance process
      No
      
      0/5
    - Engagement with non-compliant companies
      No
      
      0/5
    - Reporting on implementation of the policy
      No
      
      0/6
    - Ethical product in portfolio
      No
- Palm oil
  
  25/90
  - Commitment Strength
    
    17/31
    - Commodity-specific deforestation financing policy
      
      7.3/9.6
      - Commitment details
        Zero-gross deforestation
        
        6/8
        
        Commitment details
        
        Zero-gross deforestation
        
        6/8
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests, removing or harming peat lands or producing, processing and/ or trading of palm oil by companies that are not a member of - or in the process of becoming a member of - the Round Table for Sustainable Palm Oil (RSPO) and/or the International Sustainability & Carbon Certification (ISCC)"
        
        Open source document
      - Policy applies to all operations and financing
        All financing
        
        0.4/0.4
        
        Policy applies to all operations and financing
        
        All financing
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests, removing or harming peat lands or producing, processing and/ or trading of palm oil by companies that are not a member of - or in the process of becoming a member of - the Round Table for Sustainable Palm Oil (RSPO) and/or the International Sustainability & Carbon Certification (ISCC)"
        
        Open source document Open source document
      - Policy applies to all deals
        All financing
        
        0.4/0.4
        
        Policy applies to all deals
        
        All financing
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests, removing or harming peat lands or producing, processing and/ or trading of palm oil by companies that are not a member of - or in the process of becoming a member of - the Round Table for Sustainable Palm Oil (RSPO) and/or the International Sustainability & Carbon Certification (ISCC)"
        
        Open source document Open source document
      - Policy applies to all companies
        All financing
        
        0.4/0.4
        
        Policy applies to all companies
        
        All financing
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests, removing or harming peat lands or producing, processing and/ or trading of palm oil by companies that are not a member of - or in the process of becoming a member of - the Round Table for Sustainable Palm Oil (RSPO) and/or the International Sustainability & Carbon Certification (ISCC)"
        
        Open source document Open source document
      - Policy applies to all stages of the supply chain
        Producers
        
        0.1/0.4
        
        Policy applies to all stages of the supply chain
        
        Producers
        
        0.1/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests, removing or harming peat lands or producing, processing and/ or trading of palm oil by companies that are not a member of - or in the process of becoming a member of - the Round Table for Sustainable Palm Oil (RSPO) and/or the International Sustainability & Carbon Certification (ISCC)"
        
        Open source document Open source document
    - Companies must be legally operated
      
      4.6/4.6
      - Commitment details
        Companies entire supply chain - Required
        
        3/3
        
        Commitment details
        
        Companies entire supply chain - Required
        
        3/3
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all operations and financing
        All financing
        
        0.4/0.4
        
        Policy applies to all operations and financing
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all deals
        All financing
        
        0.4/0.4
        
        Policy applies to all deals
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all companies
        All financing
        
        0.4/0.4
        
        Policy applies to all companies
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all stages of the supply chain
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        Policy applies to all stages of the supply chain
        
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
    - Companies must monitor operations
      
      5.6/5.6
      - Commitment details
        Required
        
        4/4
        
        Commitment details
        
        Required
        
        4/4
        
        Type of policy: Assurance mechanism
        
        Certification scheme (if applicable): RSPO
        
        "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to [...] (for Palm Oil) the RSPOISCC."
        
        Open source document
      - Policy applies to all operations and financing
        All financing
        
        0.4/0.4
        
        Policy applies to all operations and financing
        
        All financing
        
        0.4/0.4
        
        "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to [...] (for Palm Oil) the RSPOISCC."
        
        Open source document
      - Policy applies to all deals
        All financing
        
        0.4/0.4
        
        Policy applies to all deals
        
        All financing
        
        0.4/0.4
        
        "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to [...] (for Palm Oil) the RSPOISCC."
        
        Open source document
      - Policy applies to all companies
        All financing
        
        0.4/0.4
        
        Policy applies to all companies
        
        All financing
        
        0.4/0.4
        
        "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to [...] (for Palm Oil) the RSPOISCC."
        
        Open source document
      - Policy applies to all stages of the supply chain
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        Policy applies to all stages of the supply chain
        
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to [...] (for Palm Oil) the RSPOISCC."
        
        Open source document
    - Companies must conduct risk assessments
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must specify a cut-off date
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
  - Social Considerations
    
    0/27
    - Company must ensure Free, Prior and Informed Consent
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must have a grievance mechanism
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Company must respect labour rights
      
      0/5.6
      - Commitment details
        No
        
        0/4
        
        Commitment details
        
        No
        
        0/4
        
        Type of policy: UNGP
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Company must address gender equality issues
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must encourage the inclusion of small-scale farmers
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must resolve land conflicts
      
      0/1.6
      - Commitment details
        No
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
  - Reporting and Implementation
    
    8/31
    - Commitments must be timebound
      Required
      
      5/5
      
      Commitments must be timebound
      
      Required
      
      5/5
      
      "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification, Programme for the Endorsement of Forest Certification (PEFC); and (for Palm Oil) the RSPOISCC."
      
      Open source document
    - Companies must disclose subsidiaries in commodity supply chains
      No
      
      0/4
    - Companies must disclose locations
      No
      
      0/4
    - Policy is reviewed and updated
      No
      
      0/2
    - Monitoring and non-compliance process
      Ad-hoc audits
      
      2.5/5
      
      Monitoring and non-compliance process
      
      Ad-hoc audits
      
      2.5/5
      
      "The following sector statements apply to the Group’s lending activities and reflect the approach we take to risk assessment with our customers. We periodically review all customers in these sectors and where those customers appear to operate outside our risk parameters, we work with them to understand how they plan to meet our requirements. If this cannot be achieved, we will stop lending to them at the earliest opportunity." [...] • We look for appropriate compliance with environmental and health and safety requirements in all jurisdictions [...] • We review their compliance with relevant industry standards including but not limited to Forest Stewardship Council (FSC) certification, Programme for the Endorsement of Forest Certification (PEFC) and Roundtable on Sustainable Palm Oil membership/certification"
      
      Open source document
    - Engagement with non-compliant companies
      No
      
      0/5
    - Reporting on implementation of the policy
      No
      
      0/6
    - Ethical product in portfolio
      No
- Soy
  
  4/90
  - Commitment Strength
    
    5/31
    - Commodity-specific deforestation financing policy
      
      0/9.6
      - Commitment details
        No commitment
        
        0/8
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must be legally operated
      
      4.6/4.6
      - Commitment details
        Companies entire supply chain - Required
        
        3/3
        
        Commitment details
        
        Companies entire supply chain - Required
        
        3/3
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all operations and financing
        All financing
        
        0.4/0.4
        
        Policy applies to all operations and financing
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all deals
        All financing
        
        0.4/0.4
        
        Policy applies to all deals
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all companies
        All financing
        
        0.4/0.4
        
        Policy applies to all companies
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all stages of the supply chain
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        Policy applies to all stages of the supply chain
        
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
    - Companies must monitor operations
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must conduct risk assessments
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must specify a cut-off date
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
  - Social Considerations
    
    0/27
    - Company must ensure Free, Prior and Informed Consent
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must have a grievance mechanism
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Company must respect labour rights
      
      0/5.6
      - Commitment details
        No
        
        0/4
        
        Commitment details
        
        No
        
        0/4
        
        Type of policy: UNGP
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Company must address gender equality issues
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must encourage the inclusion of small-scale farmers
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must resolve land conflicts
      
      0/1.6
      - Commitment details
        No
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
  - Reporting and Implementation
    
    0/31
    - Commitments must be timebound
      No
      
      0/5
    - Companies must disclose subsidiaries in commodity supply chains
      No
      
      0/4
    - Companies must disclose locations
      No
      
      0/4
    - Policy is reviewed and updated
      No
      
      0/2
    - Monitoring and non-compliance process
      No
      
      0/5
    - Engagement with non-compliant companies
      No
      
      0/5
    - Reporting on implementation of the policy
      No
      
      0/6
    - Ethical product in portfolio
      No
- Timber, Pulp & Paper
  
  25/90
  - Commitment Strength
    
    18/31
    - Commodity-specific deforestation financing policy
      
      7.6/9.6
      - Commitment details
        Zero-gross deforestation
        
        6/8
        
        Commitment details
        
        Zero-gross deforestation
        
        6/8
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification, Programme for the Endorsement of Forest Certification (PEFC); and (for Palm Oil) the RSPOISCC."
        
        Open source document
      - Policy applies to all operations and financing
        All financing
        
        0.4/0.4
        
        Policy applies to all operations and financing
        
        All financing
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification, Programme for the Endorsement of Forest Certification (PEFC); and (for Palm Oil) the RSPOISCC."
        
        Open source document
      - Policy applies to all deals
        All financing
        
        0.4/0.4
        
        Policy applies to all deals
        
        All financing
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification, Programme for the Endorsement of Forest Certification (PEFC); and (for Palm Oil) the RSPOISCC."
        
        Open source document
      - Policy applies to all companies
        All financing
        
        0.4/0.4
        
        Policy applies to all companies
        
        All financing
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification, Programme for the Endorsement of Forest Certification (PEFC); and (for Palm Oil) the RSPOISCC."
        
        Open source document
      - Policy applies to all stages of the supply chain
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        Policy applies to all stages of the supply chain
        
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification, Programme for the Endorsement of Forest Certification (PEFC); and (for Palm Oil) the RSPOISCC."
        
        Open source document
    - Companies must be legally operated
      
      4.6/4.6
      - Commitment details
        Companies entire supply chain - Required
        
        3/3
        
        Commitment details
        
        Companies entire supply chain - Required
        
        3/3
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all operations and financing
        All financing
        
        0.4/0.4
        
        Policy applies to all operations and financing
        
        All financing
        
        0.4/0.4
        
        Open source document
      - Policy applies to all deals
        All financing
        
        0.4/0.4
        
        Policy applies to all deals
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all companies
        All financing
        
        0.4/0.4
        
        Policy applies to all companies
        
        All financing
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
      - Policy applies to all stages of the supply chain
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        Policy applies to all stages of the supply chain
        
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        "We expect all of our customers to comply with applicable international conventions, sanctions and embargoes, legislation, and licensing requirements whilst showing a clear commitment to robust Environmental, Social and Governance (ESG) and risk management."
        
        Open source document
    - Companies must monitor operations
      
      5.6/5.6
      - Commitment details
        Required
        
        4/4
        
        Commitment details
        
        Required
        
        4/4
        
        Certification scheme (if applicable): FSC
        
        Type of policy: Assurance mechanism
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification"
        
        Open source document
      - Policy applies to all operations and financing
        All financing
        
        0.4/0.4
        
        Policy applies to all operations and financing
        
        All financing
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification"
        
        Open source document
      - Policy applies to all deals
        All financing
        
        0.4/0.4
        
        Policy applies to all deals
        
        All financing
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification"
        
        Open source document
      - Policy applies to all companies
        All financing
        
        0.4/0.4
        
        Policy applies to all companies
        
        All financing
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification"
        
        Open source document
      - Policy applies to all stages of the supply chain
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        Policy applies to all stages of the supply chain
        
        Producers; Processors; Traders; Manufacturers; Retailers
        
        0.4/0.4
        
        "Lloyds does not; support businesses directly involved in illegal logging[...]"Lloyds does not; Support businesses involved in deforestation or the burning of natural ecosystems for the purpose of land clearance, removal of primary or High Conservation (HCV) forests"[...] "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification"
        
        Open source document
    - Companies must conduct risk assessments
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must specify a cut-off date
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
  - Social Considerations
    
    0/27
    - Company must ensure Free, Prior and Informed Consent
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must have a grievance mechanism
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Company must respect labour rights
      
      0/5.6
      - Commitment details
        No
        
        0/4
        
        Commitment details
        
        No
        
        0/4
        
        Type of policy: UNGP
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Company must address gender equality issues
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must encourage the inclusion of small-scale farmers
      
      0/5.6
      - Commitment details
        No
        
        0/4
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
    - Companies must resolve land conflicts
      
      0/1.6
      - Commitment details
        No
      - Policy applies to all operations and financing
        No
        
        0/0.4
      - Policy applies to all deals
        No
        
        0/0.4
      - Policy applies to all companies
        No
        
        0/0.4
      - Policy applies to all stages of the supply chain
        None
        
        0/0.4
  - Reporting and Implementation
    
    8/31
    - Commitments must be timebound
      Required
      
      5/5
      
      Commitments must be timebound
      
      Required
      
      5/5
      
      "Lloyds Banking Group requires its customers to comply with relevant industry standards. These include but are not limited to the Forest Stewardship Council (FSC) certification, Programme for the Endorsement of Forest Certification (PEFC)"
      
      Open source document
    - Companies must disclose subsidiaries in commodity supply chains
      No
      
      0/4
    - Companies must disclose locations
      No
      
      0/4
    - Policy is reviewed and updated
      No
      
      0/2
    - Monitoring and non-compliance process
      Ad-hoc audits
      
      2.5/5
      
      Monitoring and non-compliance process
      
      Ad-hoc audits
      
      2.5/5
      
      "The following sector statements apply to the Group’s lending activities and reflect the approach we take to risk assessment with our customers. We periodically review all customers in these sectors and where those customers appear to operate outside our risk parameters, we work with them to understand how they plan to meet our requirements. If this cannot be achieved, we will stop lending to them at the earliest opportunity." [...] • We look for appropriate compliance with environmental and health and safety requirements in all jurisdictions [...] • We review their compliance with relevant industry standards including but not limited to Forest Stewardship Council (FSC) certification, Programme for the Endorsement of Forest Certification (PEFC)"
      
      Open source document
    - Engagement with non-compliant companies
      No
      
      0/5
    - Reporting on implementation of the policy
      No
      
      0/6
    - Ethical product in portfolio
      No
Commitment strength

11/31

Avg. score
Reporting and Implementation

4/31

Avg. score
Social considerations

0/28

Avg. score

Profile

Lloyds Banking Group plc are financial services group headquartered in the UK serving individual and commercial clients. Their services include banking (retail, commercial and corporate), insurance, pensions and investments. As of 2017, their total assets amount to over £810 billion with loans of over £450 billion. Lloyds Banking Group plc are in top lenders to Forest 500 companies, across a broad range of forest risk sectors.

United Kingdom

Financial institution type

Bank, Insurance Company

How we assess the Forest 500

Investors and lenders need to adopt and implement strong deforestation policies that ensure their investments are not funding the destruction of forests.

All assessments use policies published on financial institution websites, some links may have changed or been removed since the time of assessment.

Full finance sector performance data Forest 500 assessment methodology

More financial institutions

Life Insurance Corp of India

Public Bank Bhd.

Bank of Communications

KKR

Jefferies Financial Group, Inc.

Landesbank Baden-Württemberg (LBBW)

14%

Disclaimer

This assessment has been carried out following the methodology developed for the Forest 500 project, available here. Please see our disclaimer applicable to all information contained within this site and our terms and conditions for use of data presented on this site.

All assessments use policies published on company and financial institution websites, and while we endeavor to keep them updated some links may have changed or been removed since the time of assessment.

Please contact us with any concerns or feedback about this or other assessments included in the Forest 500.