Barclays publishes its 2025 Annual Report, setting out the progress made in the last year against its climate strategy. Within this disclosure, Barclays reiterated its ambition to be a net zero bank by 2050 and reported consistent delivery against its climate strategy, having had a record year for Sustainable and Transition Finance in 2025, and met and exceeded its 2025 financed emission reduction targets.
Daniel Hanna, Barclays’ Group Head of Sustainable and Transition Finance, said:
“In 2025, we published our Transition Update and reiterated our ambition to be a net zero bank by 2050, setting out clearly how we intend to deliver that goal. Over the year, we made consistent progress against our strategy, delivering a record year for Sustainable and Transition Finance and meeting all our 2025 financed emissions reduction targets. As we look ahead to 2026 and beyond, we remain focused on supporting and working closely with our clients, staying clear‑eyed about the opportunities, complexities and uncertainties ahead.”
Barclays is delivering against its ambition to be a net zero bank by 2050 by working with clients on their transition, financing clients’ transition and scaling climate technology.
Key progress against Barclays’ climate strategy in 2025 includes:
Financing the transition
- Barclays facilitated $98.5bn of Sustainable and Transition Finance in 2025, a record year for Barclays.
- Since 2020, Barclays has mobilised over $500bn of sustainable and transition finance.
- Barclays lent £2.4bn in Green Home Mortgages in 2025, more than double the bank’s 2024 volumes.
- Barclays’ project finance has grown threefold since 2020, including lead roles in all greenfield UK fixed-bottom offshore wind project financings closed in that period.
- Barclays incorporated nature-related eligibility criteria in its Transition Finance Framework for the first time and expanded nature-related eligibility criteria in its Sustainable Finance Framework.
Reducing financed emissions
- Barclays exceeded its 2025 financed emission reduction targets for both their Upstream Energy and Power portfolios.
- Barclays delivered a 41% reduction in absolute Upstream Energy financed emissions from a 2020 baseline, exceeding its 2025 target of a 15% reduction.
- Barclays delivered a 35% reduction in its Power financed emissions intensity from a 2020 baseline, exceeding its 2025 target of a 30% reduction.
Achieving net zero operations
- Barclays achieved all of its 2025 net zero operations milestones and targets.
- Barclays met its 100% renewable electricity target for three consecutive years and announced that it aims to continue this through to 2030.
- Barclays exceeded its market-based scope 1 and 2 emissions target, achieving 97% reduction vs a 90% target.
- Barclays converted 100% of its UK fleet to EVs, meeting their 2025 milestone.
- 73% of Barclays’ suppliers by addressable spend now have science-based GHG emissions reduction targets in place, exceeding the bank’s 2025 milestone of 70%.
Scaling climate tech
- Barclays Climate Ventures has a mandate to invest up to £500 million of Barclays’ capital in climate tech start-ups by the end of 2027. Barclays Climate Ventures invested £71m of Barclays’ capital into climate tech companies in 2025, a record year and up 9% from 2024.
- Since 2020, £274m has been invested in over 20 companies by Barclays Climate Ventures.
Working with clients on transition
- Barclays extended the scope of clients covered by their Client Transition Framework (CTF) assessments which approximately quintrupled the total limits covered by CTF assessments versus 2024, enabled by the further adoption of AI.
- Barclays also extended nature-related criteria within its CTF assessments to cover four sectors in total: Power, Mining, Automotive Manufacturing and Food.
Barclays Transition Update
Today’s Annual Report follows on from the publication of the bank’s transition plan – the Barclays Transition Update – in July 2025, which sets out how Barclays plan to continue delivering on its net zero ambition, focusing on high emitting sectors where the bank works closely with its clients and the commercial opportunity this presents for both parties.
