Barclays has announced it will no longer provide direct funding for new oil and gas projects.

The banking giant also says it will restrict lending to energy businesses that plan to expand their fossil fuel production.

Barclays is a major lender to the fossil fuel industry, but has been coming under mounting pressure to curb its support for the sector.

Campaign groups welcomed the move, but insisted it did not go far enough.

According to a report from environmental group Rainforest Action Network, Barclays was the biggest funder of the fossil fuel sector in Europe between 2016 and 2021.

It provided just under £16.5 billion in 2022, although that was significantly lower than in previous years. In 2019 and 2020, the figure was more than £30 billion.

However, the bank has been under pressure from environmental campaigners, shareholder activists and even celebrities to curb its support.