A CONSERVATIVE councillor has hit out after failing to block a cross-party call for the local authority's pension fund to turn away from controversial nuclear and arms investments.

Inverclyde's elected members want Strathclyde Pension Fund to commit to ethical investments, shun arms manufacturing and set out clear targets on environmental, social and governance issues.

But support for the idea is not unanimous, with Tory duo David Wilson and Graeme Brooks having unsuccessfully opposed the motion.

Cllr Wilson says he believes it is not for politicians to try to intervene in the fund's decision-making.

He said: "Proposed by myself and seconded by Councillor Brooks, we moved that 'the trustees of the Strathclyde Pension Fund should be allowed to make their own decisions on investments'.

"We are talking here about our current and retired employees' pensions.

"Politics should not come into the investment decisions by the trustees."

He added: "We are sending the wrong signal to our constituents who are employed by our Armed Forces or who work at Govan, Faslane and Coulport."

The motion agreed was tabled by SNP councillor Jim McEleny and included additional wording from Labour's Colin Jackson.

Mr McEleny said: “The Strathclyde Pension Fund is known to hold shares in 11 of the world’s 20 biggest arms manufacturers, including some involved in the production or maintenance of nuclear weapons or their delivery systems.

“Any investments in nuclear weapons producers are at odds with the Treaty for the Prohibition of Nuclear Weapons.

“The motion agreed by the council calls on the Strathclyde Pension Fund to work towards eliminating current and future financial exposure to companies that are involved in arms manufacturing, giving due regard to fiduciary duty.”

The Strathclyde Pension Fund has over 250,000 members and £20bn of investments.

It is one of the biggest local government pension scheme funds and one of the top 20 UK pension funds.

The agreed Inverclyde Council motion urges it to target investment in sectors such as low-carbon infrastructure, housing and low emission transport.

Provost Martin Brennan said: “With the spending power of the Strathclyde Pension Fund it is important that while return on investment is important to its future, it should use that spending power to promote ethical investing.”