Strategic Shareholder Climate and Risk Financial Financial Barclays PLC 70 report information sustainability report Governance review review statements Annual Report 2022 Introduction Our approach to TCFD climate- Barclays' Climate Strategy related financial disclosures The Climate and sustainability report includes disclosures related to the Strategy Our climate strategy is driven by considerations of all relevant risks as well and certain Metrics and Targets sections of as our Purpose to deploy finance responsibly to support people and businesses, the TCFD Recommendations. This includes the opportunities and risks identified as acting with empathy and integrity, championing innovation and sustainability for the having an impact on Barclays over the short, medium and long term, our climate common good and the long term. strategy, and our approach to scenario analysis and the resilience of our strategy. The TCFD Risk Management disclosures can be found in the Risk review on page 282, and the TCFD Governance disclosures 1 2 3 can be found in the Governance report on page 246. Achieving net Reducing our Financing We have provided a TCFD index on page 65 zero operations financed emissions the transition for ease of reference. Barclays is working to reduce its Scope 1, Barclays is committed to aligning its financing Barclays is helping to provide the green and Barclays is participating in the FCA sandbox a Scope 2 and Scope 3 operational emissions with the goals and timelines of the Paris sustainable finance required to transform the for the Transition Plan Taskforce. We have consistent with a 1.5°C aligned pathway and Agreement, consistent with limiting the economies, customers and clients we serve. voluntarily considered elements of the counterbalance any residual emissions. increase in global temperatures to 1.5°C. November 2022 Transition Plan Taskforce guidance in preparing this report. During 2023, we will look to further develop Our strategy is underpinned by the way we assess and manage our exposure to climate-related risk. elements of our climate disclosures including transition planning, scenario In March 2020, we announced our ambition to be Barclays recognises the importance of a just The financial sector has an important role to play analysis, stress testing, physical risk a net zero bank by 2050, becoming one of the transition in planning the transition towards a in helping to address climate change. The final b assessment, and embedding climate into first banks to do so. We have a three-part low-carbon economy. decision text from COP27 stated that $4trn per strategy and financial planning. This will be strategy to turn our net zero ambition into year needs to be invested in renewables to be Further details of our work on a just transition can be found reflected in future disclosures. + on page 119. action. able to reach net zero emissions by 2050 and furthermore, a global transformation to a low- Our strategy is underpinned by the way we We also recognise the important role of the carbon economy is expected to require assess and manage our exposure to climate- financial sector in stewarding responsible finance b investments of between $4-6trn per year. related risk. Climate risk became a Principal Risk towards a nature-positive future. in January 2022 under Barclays’ Enterprise Risk As a global universal bank, Barclays is well- Further details on how we're considering nature and Management Framework, reflecting the positioned to help scale the new climate + biodiversity can be found on pages 119 to 120. complexity of the risks associated with a technologies that will decarbonise industries and changing climate and decarbonising the Notes create green jobs. We are determined to play our a We define our Scope 3 operational emissions to include supply chain, economy. part by leveraging our experience as an adviser, waste, business travel and leased assets. b $4-6trn as referenced at COP27 at unfccc.int/documents/624444 as bank and investor (through our Sustainable Further details on how we identify and consider the impact of well as the United Nations Environment Programme - Emissions Gap + Climate risk on other Principal Risks facing Barclays can be Impact Capital Programme) to help the transition Report 2022 at unep.org/resources/emissions-gap-report-2022. found from page 273 to 289. to a low-carbon economy.