The University of Oxford has announced plans for its endowment fund to divest from all fossil fuel companies.

The move comes as part of a more climate-conscious strategy and a bid for the univeristy to become a 'world leader' in reducing and tackling climate change.

The university's endowment is worth over £3bn and is managed by Oxford University Endowment Management (OUem).

OUem has also been instructed by the university to engage with fund managers to request evidence of net zero carbon business plans across their portfolios.

The university's approach is based on its own academic research on climate-conscious business practices, the Oxford Martin Principles for Climate-Conscious Investment, which provides a framework for engagement between investors and companies across the world.

Since 2007, OUem investment in the energy sector has declined from an estimated 8.5% of the endowment to 2.6% as part of a gradual reduction in exposure to fossil fuels.

The university's vice-chancellor, Professor Louise Richardson said: "Oxford is a global pioneer in many areas of environmental research and science, from climate economics to biodiversity, energy use, and climate change modelling.

"Coupled with our research strengths, our new approach will enhance our position as a world leader in reducing carbon emissions and tackling climate change before it is too late."

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