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Chamber

Plenary, 26 Feb 2003

26 Feb 2003 · S1 · Plenary

Item of business

Ethical Investment

Deacon, Susan Lab Edinburgh East and Musselburgh Watch on SPTV

I will return to the convention of congratulating the member who has secured the debate, not least because constituency members are lobbied about issues and bombarded with demands and it is significant when one of us brings such an issue into the heart of the chamber. Angus MacKay is to be congratulated on bringing the issue to the fore.

I also congratulate People & Planet and my alma mater, the University of Edinburgh, on their progressive stance. Whether we are in the Parliament or in our leading higher education institutions, it is vital that, as well as focusing on our day-to-day activities, we think about the world in which we live and take actions that will influence the world for the better. The efforts that the University of Edinburgh has made in that regard are genuinely to be congratulated.

It is worth stating why the principle of ethical investment is important. To use a much maligned phrase, I will go back to basics. It is important to remember that much of what we do in our lives—arguably all of it—is governed by a set of values and beliefs; if it is not, it ought to be. How much more important is it that decisions about money are governed by values and beliefs, whether those decisions are for us as individuals or for corporate entities? Money can and does talk and money makes a difference. When a major corporate entity such as the University of Edinburgh, with its £160 million wealth, decides to direct that resource in a way that is driven by a particular value base, that makes a difference.

I say to those who are involved in campaigning about ethical investment that I am conscious that sometimes much of what we all do in politics and more widely can feel like a thankless task—sometimes it can feel as though our actions do not make a difference. However, some members can remember being involved in comparable campaigns and activities 20-odd years ago. In my case, at the University of Edinburgh, we campaigned with some success for the university to take investment decisions based on values and beliefs. The aim was to avoid companies that invested in the apartheid regime in South Africa. That regime is no more. I believe that the campaigns and investment decisions of the time played a part in delivering that result, albeit along with myriad other small activities across the country and the world. Those who are involved in the current campaign should be encouraged. I hope that the experiences that some of us had in the past—I am starting to feel old—will provide encouragement for the work that they are doing.

I wish to say a few words about the wider issue of ethical investment, which is an idea whose time has come. It is growing in popularity. In the brief research that I did for the debate, I was struck to read that in the UK there are now more than 40 unit and investment trusts with ethical criteria and that those trusts are valued at more than £2 billion. The graphs show that there has been steady growth in the demand for ethical investment over the past decade.

I am also struck that the demand for ethical investment products is now such that it is unmet. That is encouraging. It shows that, in a world where materialism undoubtedly speaks loudly and has great influence, many individuals and corporate entities are prepared to think beyond simple financial criteria about values and beliefs. The work that the University of Edinburgh is doing in that regard is to be encouraged and welcomed and I am happy to give it my support tonight.