Strategic Shareholder Climate and Risk Financial Financial Barclays PLC 20 report information sustainability report Governance review review statements Annual Report 2022 Section 172(1) statement (continued) The Board viewed the Say on Climate advisory The sanctions imposed represent the most Across the financial services sector, cyber risk vote as an important part of its ongoing significant change to the global sanctions remains heightened. The Board and its engagement with shareholders and Barclays regime since the 9/11 terrorist attack in the US, Committees have heard from management on has continued to engage with shareholders requiring the Group to act at pace. The Board the measures implemented to address these and other stakeholders on our climate strategy received reports on the significant work done by concerns to ensure that Barclays is, and will and ambitions following the 2022 AGM. colleagues in the compliance and legal remain, well placed to react in the event of any Responding functions, along with other areas of the such attack, which could target Barclays directly Since the AGM, in September 2022, the Board to the impacts of business, to ensure that Barclays was able to or the wider financial services infrastructure. reviewed a further proposal to strengthen the the Russian invasion take swift action to respond to these sanctions. thermal coal policy and endorsed the proposal The Board Risk Committee has also received a of Ukraine The response was aimed at reducing the to update the US thermal coal power phase- briefing on the operational and risk learnings potential for financial crime, directing out date from 2035 to 2030 and the Board has from the Group's response to this situation in substantial resources into the management of also reviewed a change to the oil sands policy order that the Group is best placed to respond potential conflicts between sanctions regimes and new green and sustainable finance should conflict arise in another jurisdiction as new sanctions were rolled out across targets. The Board continues to receive requiring similar actions to be taken. different jurisdictions, obtaining required updates on the evolution of our climate The Board and senior management will continue licences and playing a strategic role on policy The Board has closely overseen the Group’s strategy and progress against targets. to monitor the situation and its implications for developments and sanctions implementation. response to the Russian invasion of Ukraine. In line with our commitment in the Barclays’ the Group and our stakeholders. The impacts of the war are numerous and With regard to the management of risk Climate Strategy, Targets and Progress 2022 widespread, with implications for Barclays, its associated with the Russian invasion of Ukraine, document to provide further updates on clients and customers and other stakeholders. the Board received updates on operational risk, targets for sustainable financing in 2022, the Recognising the urgency of situation, the Group credit risk and market risk exposures and on Board was also updated on Barclays' new Chairman convened a Board meeting in mid- actions taken to reduce these, manage funds target to facilitate $1trn of Sustainable and March 2022 to assess developments and the and de-risk positions effectively. Transition Financing between 2023 and the Group’s response. Since then, the Board and its end of 2030. Committees have received ongoing updates. More on climate strategy Notwithstanding that Barclays has no onshore + Page 15. presence in Ukraine or in Russia, this situation has required a multi-faceted response by Barclays, with the Board and its Committees overseeing a number of matters including the The impacts of the war are Group’s response to the rapidly imposed global sanctions, the management of the Group’s numerous and widespread, with financial exposure to Russia-specific market, credit and liquidity risks and management actions taken to reduce the Group’s exposure implications for Barclays, to the heightened risk of cyber attack. its clients and customers and other stakeholders.