If you haven’t already done so, please consider writing to your Finance Director asking them to urge USS to divest from fossil fuels https://divestuss.org/2026/04/17/write-to-your-finance-director/
Over 100 UK universities have committed to divest their own funds from fossil fuels but are still investing their staff pension contributions with USS which is continuing to invest in fossil fuels. USS is not listening to its members’ concerns but might listen if universities applied some pressure.
Along with your email we suggest you send this briefing and please tell us if you get a response (ussdivest@gmail.com):
Briefing note for Financial Directors to approach USS about fossil fuel divestment (provided by DivestUSS May 2026)
1. In brief,
- 117 universities have divested their own funds from fossil fuels – but continue to pay into USS, which has not.[1]
- Younger USS members will be drawing pensions in 50 years’ time – but financial markets may be significantly under-estimating the true scale and immediacy of climate risk.
- UCU’s policy supports divestment.[2]
- Students support divestment.[3]
- Major UK pension funds have divested.[4]
- However, UCEA currently has no mandate to explore this option.
2. USS’s current position
USS:
- recognises that the energy transition is a financial imperative.
- has committed to the target of ‘Net Zero 2050’.
- has made some progress to reducing the carbon emissions from its portfolio.
- say they are engaging with companies to encourage emission reduction.
- state fiduciary duty bars setting prior restrictions on investment categories
- require stronger government guidance on how this duty is to be interpreted in the case of climate change, before they act.[5]
Current USS investments (May 2026):
- 59 of the 200 companies identified as having the biggest coal, oil and gas expansion plans (and has recently increased the number of these companies it invests in).
- 43 of the biggest coal companies in the world and 42 of the 65 largest banks which provided $870 bn in fossil fuels investment in 2024
- Ignoring lobbying from members, USS voted to support the boards of HSBC, Santander and NatWest at their 2026 AGMs, despite these banks backtracking on their climate commitments.[6]
3. Possible actions by university Finance Directors
Recognising the inconsistency between university funds and USS and the need of staff for long-term financial stability, might FDs consider:
- Contacting UCEA, both directly and in the Employers Pension Forum, to ask for working party to ascertain the opinions of members on the issue.
- Contacting USS, both directly and in the autumn 2026 USS Institutions meeting, to ask for a survey of employer opinions on the issue.
[1] https://peopleandplanet.org/fossil-free
[3] Climate change tracker – SOS UK
[4] Eg., Church of England Pensions Board disinvests from Shell and remaining oil and gas holdings | The Church of England
[5] Further information in DivestUSS Report on USS’s response to the climate emergency