HSBC has confirmed that its Chief Sustainability Officer, Celine Herweijer, will no longer be part of its executive decision-making board, raising concerns about the bank’s climate commitment as it releases its latest quarterly earnings. As part of a recent restructuring, HSBC has reduced its 16-member executive committee to a 12-person operating team, excluding Herweijer from the new committee lineup.
New CEO Georges Elhedery, spearheading a strategic overhaul to streamline operations and cut costs, declined to comment on the impact of Herweijer’s departure from the board. He assured that HSBC “remains committed to supporting the transition to net zero.”
Andrew Harper, Chief Responsibility Officer at Epworth Investment Management, voiced unease, suggesting that the move might signal a step back on HSBC’s climate pledges. “Commitment without action is just cheap talk at HSBC,” Harper stated. “This decision signals the bank’s priorities—profits at any cost.”
Climate advocates stress that having a Chief Sustainability Officer on executive boards is vital for ensuring that environmental goals remain at the forefront of decision-making. HSBC’s climate actions have previously faced scrutiny, notably in 2022 when the bank committed to end financing for new oil and gas fields following pressure from ShareAction and other investors. HSBC unveiled its net-zero transition plan in January, aiming to support heavy-emitting clients in decarbonising their businesses by 2050.
Banks globally are under increasing pressure to fund climate goals, yet institutions, including Morgan Stanley, have noted the difficulty in meeting these targets without clearer policy support from governments.