Our view

Feb 07 - UK: Norwich Union research highlights consumers' concern about climate change

Norwich Union research highlights how climate change is becoming an important issue for consumers. The research, conducted by Ipsos MORI, shows:

• Around three-quarters (78%) of people want to do more to help limit the effects of climate change, and six out of 10 (62%) have already taken action
• More than half (57%) of people surveyed said they are interested in long-term financial products such as savings, ISAs and pensions where the fund managers choose investments that take account of the impact on climate change – including 11% who are interested regardless of the effect on their financial return
• Two-thirds (66%) of people think financial companies such as insurance companies and pensions providers should offer products to limit the effect of climate change
• Two-thirds (67%) of people think financial companies such as insurance companies and pensions providers should give customers information on what they can do to limit the effects of climate change.

Dr Peter Michaelis, manager of the Norwich Union UK Ethical fund and Norwich Union Sustainable Future UK Growth funds, said: “Climate change is a hugely important issue and barely a day goes by without a leading politician or news story highlighting the scale of the problem. This research shows how important an issue it is for consumers and how people are now willing to make changes to reduce its impact.

“Climate change has been a key investment theme for Norwich Union’s Sustainable Future funds for several years. These funds have a lower carbon intensity compared to mainstream benchmarks. The funds we manage invest in companies that provide solutions for a low carbon future, such as renewable energy companies or companies that mitigate their own climate change impacts. The funds also invest in companies involved in trading carbon credits. We believe that this approach ensures our portfolios are well positioned to benefit from increasing regulation on climate change and changing consumer preferences.

“People who are concerned about climate change should be aware that their investment decisions can play a significant role in reducing their own carbon footprint.”

Aviva, Norwich Union’s parent company, announced in December 2006 its commitment to become the first insurer to carbon neutralise its operations on a worldwide basis.

-ends-

Press office contacts:

David Gwyer 01904 452828 Out of hours 07800 699508
Louise Soulsby 01904 452617 Out of hours 07800 699526

Notes to editors:

About the research
A nationally representative quota sample of 2,074 British adults aged 15+ was interviewed throughout Great Britain on the Ipsos MORI Omnibus, across 188 constituency-based sampling points. Interviews were carried out using CAPI (Computer Assisted Personal Interviewing), face-to-face in respondents’ homes between 12 and 16 October 2006. Data have been weighted to reflect the known national population profile

About Norwich Union’s socially responsible investment funds
Norwich Union has seven socially responsible investment (SRI) funds. The investment management team is based at Morley Fund Management and is one of the largest and most experienced in the UK. The team is lead by Dr Peter Michaelis.

Norwich Union’s seven SRI funds are:

• Norwich UK Ethical
• Norwich Sustainable Future Corporate Bond
• Norwich Sustainable Future UK Growth
• Norwich Sustainable Future Absolute Growth
• Norwich Sustainable Future Manager
• Norwich Sustainable Future European Growth
• Norwich Sustainable Future Global Growth

The UK Growth fund has been accredited as a Trucost Low Carbon Fund with a Carbon footprint at least 20% lower than the FTSE All Share benchmark[1].

1 Trucost Carbon Footprint Ranking of UK Investment Funds’ released in June 2006.

About Norwich Union
Norwich Union is the UK’s largest insurer. It is a leading provider of life, pensions and investment products and one of the largest financial adviser (FA) providers. FAs provide over 70% of the company's long-term savings business in the UK.

Norwich Union is the UK’s largest general insurer with a market share of around 14%, with a focus on insurance for individuals and small businesses.

Norwich Union’s news releases and a selection of images are available from Aviva's internet press centre at www.aviva.com/media

About Morley Fund Management
Morley Fund Management Limited is the UK-based asset management business of Aviva plc. Firms within the Morley group of companies manage Ł165 billion from offices around the world as at 28 February 2006.

Morley manages both institutional and retail funds under the Morley brand. It also acts as investment manager for a range of retail and institutional investment funds for a growing number of clients.

Further information about Morley Fund Management can be found at www.morleyfm.com