Which? has placed some of the UK’s High Street banks in a “red” warning category based on its analysis of fossil fuel investments and green policies.

The consumer champion examined the environmental policies of 13 of the UK’s current account providers with only three earning a Which? ‘Eco Provider Badge’.

Which? said that the six banks in the “red” category – JPMorgan Chase, Santander, Barclays, HSBC, NatWest and Lloyds – have weak policies on fossil fuels and commodities like beef and palm oil.

The organisation added that there are differences between the banks that finance fossil fuels. Barclays is Europe’s biggest fossil fuel financier yet it is the only bank that Which? looked at to set 2025 targets for power and energy and has provided more than £87 billion of green finance since 2018.

A Barclays spokesperson said: “As one of the first banks to set an ambition to become net zero by 2050, we are clear that addressing climate change is an urgent and complex challenge. We are using our entire franchise to support new green technologies and infrastructure projects that will build up low-carbon capacity and capability, having provided over £87 billion of green finance since 2018.

“We have set a target to facilitate $1 trillion in Sustainable and Transition financing between 2023 and 2030 and we have set a mandate to invest £500 million of our own capital into global climate-tech start-ups by the end of 2027.”

Which? said JPMorgan Chase has financed more fossil fuels than all the banks it assessed put together. The US-headquartered bank got the lowest score for positive environmental impact, and it contributed $434.15 billion to fossil fuel financing between 2016 and 2022.

“As one of the world’s largest financial institutions, we provide financing across the energy sector: supporting energy security, helping clients accelerate their low carbon transition and increasing clean energy financing with a target of $1 trillion for green initiatives by 2030,” said JPMorgan Chase. “We were also the first large U.S bank to establish 2030 portfolio-level emissions intensity reduction targets, aligning key sectors of our financing portfolio with the goals of the Paris Agreement.

“Our approach is underpinned by our ongoing focus on accountability, transparency and engagement, reporting progress against key financing commitments and operational targets annually.”

Lloyds and NatWest, are less involved in the financing of fossil fuels than their peers, Which? said.

The three banks labelled Which? Eco Providers are Nationwide, The Co-operative Bank and Triodos as they have no exposure to fossil fuels in their banking activities.

Commenting on the news Sam Richardson, deputy editor of Which? Money, said: Consumers seeking to make more sustainable choices might want to consider switching banks if they are uncomfortable with their money being invested in the fossil fuel industry and other projects which could be damaging to the environment.”

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