Climate campaigner ClientEarth has reported two UK listed companies, Just Eat and Carnival, to the UK’s financial services regulator for failing to report on climate change risk to their investors, in breach of their legal requirements.

Both the food delivery platform and cruise line operator claim to be taking steps to lower their environmental footprint, yet neither are clearly addressing the challenges that the climate crisis and low-carbon transition present to their businesses.

Following analysis by ClientEarth lawyers into inadequacies with climate-related disclosures by the largest 250 UK companies from 2019-2020, they identified Just Eat and Carnival as among the worst offenders in this year’s reporting. ClientEarth argues that both companies’ reporting failures are a breach of their legal requirements under UK company law to disclose material risk to investors.

ClientEarth lawyer Maria Petzsch said: “Just Eat and Carnival are not immune to the impacts of climate change. These impacts are material to investors, who expect to be given the full picture. As market leaders in highly exposed sectors, Just Eat and Carnival are in a strong position to lead by example and tackle climate risk head on – but they have to get their act together.”

In recent years, the FCA has ignored multiple complaints lodged by ClientEarth highlighting examples of non-compliance, and in a letter to the regulator sent today alongside the referrals, ClientEarth lawyers have warned that the FCA’s continued failure to secure compliance puts it at risk of breaching its own statutory objectives.

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