Tuesday 02 October 2018 11:35 am | Updated: Tuesday 21 May 2019 4:25 pm

A third of non-investors say they would consider ethical investment funds

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A third of non-investors would consider putting their money into ethical funds, according to a new survey.

More than half of Brits said they prefer to use ethical financial products and 64 per cent of those said they were prepared to pay extra for socially conscious services, research by online investment service Wealthify said.

Younger consumers were more likely to consider investing in an ethical investment portfolio for the first time, with 45 per cent of 18 to 35-year-olds saying they would.

However, only seven per cent of respondents currently invest in socially responsible portfolios.

Consumers were more likely to pay an ethical premium on everyday current accounts, savings accounts, credit cards, insurance and investments.

Ethical funds avoid supporting companies involved with weapons, animal testing, oppressive regimes or that have a negative impact on the environment, while supporting those that have green credentials, ethical labour practices and champion human and animal rights.

Wealthify chief investment officer and co-founder Michelle Pearce-Burke said: “The ability to invest ethically or in line with your principles is growing in popularity, and it’s consistent with many people’s general shift towards more environmental and social consciousness in recent years.

“As our research has found, Brits are very much ‘walking the walk’ in living this way and are applying these values to their finances too.

"Prior to launching Wealthify’s ethical investment plans in August 2018 we asked our customers if investing ethically is important to them and their answer was very clear – 43 per cent said it was extremely important or very important."