Domestic issues matter too

Live Earth on July 7 is a major international event, with an estimated 2 billion people across the world tuning in to show their support for the planet.

Closer to home, however Brits are more concerned about social issues such as care for the elderly, immigration and child labour, according to new research from Friends Provident, which launched the UK’s first ethical fund for individual investors in 1984.

To mark the 23rd anniversary of the Stewardship Fund, the 2007 Ethical Concerns Barometer, first conducted in 2005, asked people which ethical issues are most important to them. Provision for the elderly was first, followed by War and Immigration, all of which were ranked over the green issues of pollution and energy conservation. Climate change, the buzz words on this summer’s wristbands was lower down at number 8.

The UK’s top 10 ethical concerns in 2007 are as follows:

1 Provision for the elderly
2 War
3 Immigration
4 Pollution of land, sea or air
5 Child Labour
6 Energy conservation & renewable energy
7 Poverty (both adult and child) in developed countries
8 Climate Change
9 Waste management and recycling
10 Human Rights

External influencers such as the Government, the media and the celebrity circuit could have played a part in changes in ethical attitudes. Waste management and recycling is now a top 10 concern, which could be attributed to the initiatives employed by retailers and local authorities such as availability of re-useable carrier bags, provision of compost bins and even colour coded refuse sacks.

The media frenzy that followed people queuing up for designer label supermarket bags, and the placing of concealed micro chips in rubbish bins steered the ethical debate further into the limelight.

The biggest temperature drop was around poverty linked to third world debt, suggesting that this was not on people’s minds as much as it was two years ago. This could be partly due to Bob Geldof’s hugely successful “Make Poverty History” concert, which took place in 2005. In contrast, poverty in developed countries stayed at a steady level within the top 10, demonstrating that there continues to be an awareness of poverty in all countries and that the concern is no longer confined to just underdeveloped countries.

Lower down the gauge, and in the run up to the national ban, smoking had become more of an overall concern, specifically in the 18-34 age group, where it ranked in their top 20, compared to 22 in 2005.

The gender divide was prevalent with women ranking child labour 3, in contrast to 11 for men. Employment practices ranked in men’s top 20, whereas women saw it as less important at 26. Waste management and recycling brought a closer alignment between the two sexes, with a rank of one apart compared to two years ago when it was 9for men and 14 for women.

Overall, Gambling remained at the bottom of the barometer as the least area of concern, despite some opposition surrounding the Government’s plans for ‘Las Vegas’ style casinos, and the eventual opening of the super casino at the Empire in London’s Leicester Square in May.

Julia Dreblow, socially responsible investment marketing manager at Friends Provident, said: “Our research shows that while environmental and green issues are still close to people’s hearts, their ethical concerns are spread much wider, ranging from human rights, child labour, employment practices and caring for the elderly. This confirms that people have a greater understanding of the bigger ethical picture, which is what the Stewardship Fund has been about since its launch in 1984.

“And it’s no longer just about individuals – the media and the corporate world has contributed to the huge awareness campaign, and celebrity endorsement has widened this further. People are now investing with care, and realising that you don’t have to compromise your principles to make a profit.”

Ted Scott, of F&C Management, fund manager of both the Friends Provident Stewardship Life and Pensions fund and its OEIC funds, Stewardship Growth and Stewardship Income, said:

“When the fund first launched sceptics poured cold water on the idea, expecting it to generate little interest and dubbing it the ‘Brazil Fund’ because ‘you would have to be nuts to invest in it’. However, the fund and its sister products have gone from strength to strength based on rising demand for ethical investments combined with strong investment performance that has tangibly demonstrated you can profit from your principles.”