The Advertising Standards Authority (ASA) has banned a Lloyds Banking Group advert for making misleading environmental claims, marking the second instance of a major lender violating UK advertising rules against greenwashing.
The ASA's decision followed an investigation into a billboard poster and three LinkedIn posts that promoted Lloyds' climate efforts.
The complaint, brought by the campaign group Adfree Cities, argued that the ads were misleading and omitted significant information about Lloyds' CO2 and greenhouse gas (GHG) emissions. The ASA upheld part of the complaint, specifically banning one LinkedIn post for not providing balanced information about Lloyds' continued financing of polluting industries.
The banned post claimed Lloyds was reducing reliance on fossil fuels and investing in clean energy, but the ASA found this misleading as Lloyds' 2023 sustainability report indicated substantial emissions from its financing activities. The ASA emphasized that future environmental claims by Lloyds must not mislead the public or omit significant information.
Lloyds is the second high street bank to breach ASA rules on greenwashing, following a similar case with HSBC in 2022. Adfree Cities is now advocating for stricter regulations on advertising by major polluters, including banks that finance fossil fuels.
Lloyds responded by reaffirming its commitment to transparent public discussion on environmental issues and its goal to reach net zero by 2050 or sooner.
