A call for ethical Isle of Wight Council pension fund investment amid the ‘continuing genocide in Gaza’ was blocked on the back of strong legal advice last week.
County Hall chair Ian Dore removed Councillor Chris Jarman’s motion from the agenda of last Wednesday’s (19th November) full council meeting after receiving an email from the monitoring officer.
Cllr Jarman’s motion said the Isle of Wight Pension Fund should be invested ‘in a manner consistent with international law and human rights’.
The appeal said ongoing investment in firms ‘complicit in’ or ‘enabling’ international law violations erodes the local authority’s values and the trust of pension fund scheme members.
It read:
“This full council resolves, so far as the legal considerations allow, that: the Isle of Wight Pension Fund Committee (IWPFC) should engage (in writing) with fund managers to strongly urge them to avoid any direct or indirect investment which may or may be seen to be supporting or enabling the continuing genocide in Gaza, the ongoing displacement of Palestinians in the region, or the blockading of aid to Palestinians.
“The IWPFC should write to the relevant national pension oversight bodies and the UK Government urging them to support ethical investment standards across all Local Government Pension Scheme funds.”
After the meeting, an Isle of Wight Council spokesperson told the Local Democracy Reporting Service (LDRS) that Cllr Jarman’s motion was rejected because the pension fund committee had already decided to carry out a “wider review”.
They added that the motion “sought to stray into areas beyond the powers granted by parliament” and the legal purpose for which powers had been given.
County Hall subsequently agreed to release the advice to the LDRS.
The advice said:
“(The motion) undermines the pension fund committee decision to undertake a wider review.
Article continues below this advertisement “It moreover fundamentally departs from the statutory purposes for which statutory powers are granted.
“The ‘motion on notice’ deliberately strays from such statutory purposes and unlawfully seeks to put pressure on fund managers to make investment decisions for, in effect, foreign policy reasons etc, and to automatically support ‘ethical investment standards across all Local Government Pension Scheme funds’.
“It also puts members at risk due to acting beyond their powers.”
However, Cllr Jarman said the motion did not undermine the decision of the pension fund committee to carry out a wider review – “specifically the planned regular update of its Environmental, Social and Governance (ESG) policy”. His motion, he said, would “inform, rather than fetter” this work.
ESG refers to a set of standards assessing a business’s effect on society, the environment, and how transparent and accountable it is, according to the British Business Bank.
Cllr Jarman added there were issues raised in the legal advice that were new, had not previously been raised and contradict the views and decisions of other local authorities.
He pointed to Southwark Council’s 15th September decision to “take steps to divest from companies profiteering from activities within conflict zones and countries linked to genocide”.
A spokesperson for the Isle of Wight Palestine Solidarity Campaign (IWPSC) said:
“We are disappointed that the motion scheduled for discussion was not voted on due to legal advice.
“However, our commitment to advocating for divestment from companies complicit in Israel’s human rights abuses in Palestine remains unchanged.”
The spokesperson said that many Islanders and pension fund members remain deeply concerned about these investments and support PSC’s divestment campaign. They went on to thank councillors continuing to pursue the issue.
Duck gaza and plastacine..
It’s ok, the councillor’s salary was promised to them 3000 years ago
Why are you using someone else’s pseudonym?
Does it bother you? Good.
I don’t see a trademark on the name (I’m the original btw)
no – gaza is not the uk problem
I said that but got comment removed.
What on earth does Gaza have to do with running the Isle of Wight? These councillors need to be reined-in or else prosecuted for misconduct in public office.
Gazza Shouldn’t even take up a second of councils time. Not their business.
Sweeden went into ethical pensions and it went very wrong.
Wouldn’t it be nice if the council would stop their woke political posturing and just get on with delivering reliable services for local residents. The last time I checked I am certain they weren’t elected with a mandate to concern themselves with international political matters concerning a foreign government regarded by our national parliament as an ally.
Fat chance! You should read the Dix b.s. story on how to save the planet!
I really don’t get this, labour & the councils are supporting people that hate us, this shouldn’t have anything to do with our council.
But whilst we’re here I STAND WITH ISRAEL
You’re not alone in that.