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ESG ratings and benchmarks

NatWest Group has continued in its commitment to proactively respond to a number of key ESG surveys and sustainability assessments, achieving above industry average in several benchmarks. For example, we place in the 1st decile of ‘Commercial Banks & Capital Markets’ according to ISS ESG, as well as ranking 157/1003 banks according to Sustainalytics.

So far in 2022 we have seen an upgrade from Institutional Shareholder Services ESG (ISS ESG) to C+ (prime), from C (prime). Prime status is awarded to companies that meet specific minimum requirements in Corporate Ratings and achieve the best ESG scores among their sector peers – we scored in the top 10% of organisations in our industry.

We have also seen our Sustainalytics risk score maintained at ‘low risk’ although marginally revised upwards to 17.7 from 17.3 (where lower is better). We remain very happy with where we rank among banks globally (157/1003) 1. We have also, once again, been included in the FTSE4Good index.

In 2021, we were rated again “AA” (Leader)2. by MSCI, maintaining the rating we have had since 2020.

We achieved a B rating in the 2021 CDP Climate Change survey, aligning us with the financial services average of B. Though our 2021 rating was reduced when compared to 2020, we have continued to further integrate climate-related considerations into the heart of our business, enhance the depth and transparency of our climate-related disclosures and support the transition to a net-zero economy.

After not actively participating in the 2020 S&P CSA survey we fully engage with the survey in 2021 we achieved a score of 63/100 which places NatWest Group in the 80th percentile, vs the 60th and 77th percentiles we attained in 2020 (based on S&P’s review of our publicly available information) and 2019 respectively (where 100th is best).

We eagerly await the outcome of the 2022 review process from several ESG ratings agencies.

Benchmark
2019
2020
2021
2022*
Scale (best to worst score)

CDP (Climate Change)

B

A-

B

TBC

A to D-

Industry average

C

B

B

S&P Corporate Sustainability Assessment (CSA)

71

41

63

63*

1 to 100

Percentile rank

77th

60th

80th

100th is best

ISS ESG

C

C

C

C+

A+ to D-

Prime status

Prime

Prime

Prime

Prime

Sustainalytics Risk Report

27.7

20.5

17.3

17.7

Negligible to Severe

1 to 100

Industry rank (Banks)

242/933

134/975

138/1008

157/1003

MSCI ESG

BBB

AA

AA

TBC

AAA to CCC

FTSE4Good

Included

Included

Included

Included

* - Scores correct as of 03 Aug 2022

TBC - Score or rating yet to be confirmed for 2022. Please revert to 2021 rating.

 

Footnotes & disclaimer:

(1) All Sustainalytics information and data contained herein are proprietary of Sustainalytics and/or its third party suppliers (Third Party Data) and are provided for informational purposes only. They do not constitute an endorsement of any product or project, nor an investment advice and are not warranted to be complete, timely, accurate or suitable for a particular purpose. Their use is subject to conditions available at https://www.sustainalytics.com/legal-disclaimers.

 

(2) The use by NatWest Group of any MSCI ESG Research LLC or its affiliates (`MSCI’) data do not constitute a sponsorship, endorsement, recommendation, or promotion of NatWest Group by MSCI. MSCI services and data are the property of MSCI or its information providers, and are provided `as-is’ and without warranty. ’Leader’ definition as per MSCI methodology.

 

ESG ratings on this page are: (i) unsolicited; (ii) not a sponsorship, endorsement, or promotion of NatWest Group by the relevant rating provider, nor (iii) a warranty. Currently, ESG rating providers are not regulated like credit rating agencies. Some ESG ratings providers only rely on public information. So, their outputs may be subject to data gaps. ESG rating providers use different definitions, scope and methodologies leading to variation in ESG ratings for any given company.

We continue to respond to the UN Global Compact (UNGC) annually, which signals our support for the universal principles on human rights, labour, environment and anti-corruption.  A copy of our latest UNGC Compact Communication on Progress is available here.

Related content

Read more about how the diverse awards we have have reinforced our determination in aiming to make a difference for our stakeholders. 

Read more about our underlying reports and policies.

Read more about our signatories, memberships, and accreditations.