Lloyds Banking Group has pledged to at least halve the carbon emissions it finances by 2030.
The financier has estimated this will have an effect equivalent to removing the emissions produced by almost a quarter of UK homes.
It said there is an “urgent need” to tackle climate change, grow the green economy and promote sustainable finance if UK businesses are to continue to prosper in the future and notes more will be required from all organisations and government to do this successfully.
The bank has promised it will announce new products and services in 2020 to support green finance across the UK, enabling its customers to make more sustainable decisions and investments, as well as committing to support businesses getting involved in the green economy and working to improve commercial energy efficiency.
A new partnership with the Woodland Trust means Lloyds Banking Group will also work to plant ten million trees over the next decade, which it forecasts will help absorb up to 2.5 million tonnes of carbon dioxide from the atmosphere.
António Horta-Osório, Group Chief Executive, said: “The next decade will be crucial for protecting the planet for future generations and financial services has a critical role to play.
“We are fully committed to supporting our customers, clients and colleagues to transition to a low carbon economy, working closely with other organisations and government to create the solutions that will accelerate progress and ultimately help Britain prosper.”