A lack of clear standards and definitions and the risk of greenwashing have been cited as two of the main barriers to financial advisers recommending ESG investments more often to clients.

The UK fund sector has made major strides in improving its ESG credentials but major improvements are still needed, according to a new report from pension consultants XPS.

‘Greenwashing’- false or exaggerated claims about the environmental and social benefits of ESG investments - is a top concern for 44% of investors.