Legal & General Investment Management has reiterated that it will continue to vote against boards where it has concerns over environmental issues.

LGIM has said it is prepared to use its £1trn worth of UK pension fund investments to take action on climate change, putting this at the top of its list of concerns.

However, it is also marking executive pay, diversity in senior roles and lobbying practices among its red flags when considering shareholder pressure.

New figures from the asset manager show it voted against the re-election of nearly 4,000 directors lat year, up just over a third on the year before, with 100 board chairs voted against based on diversity.

The BBC quotes Legal & General’s director of corporate governance Sacha Sadan as saying: “2018 was a record year for us as we continued to engage with companies on a broad range of issues, using our voting power to influence change on behalf of our clients. The increased figures reflect the higher standards we expect companies to adhere to”

The firm insists it is toughening up standards, having received criticism after a 2012 vote in favour of a pay structure that saw the boss of housebuilder Persimmon pocket £100m.

Sadan tells the BBC LGIM now has a policy of insisting upon a maximum payout cap.