THE University of Birmingham has been condemned by its official student body for replacing ethical rules that prevented it from investing in arms companies, tobacco, and alcohol with a set of so-called “investment principles.”

These mean the university needs only consider “financially material” environmental, social and governance factors.

Its Guild of Students president Antonia Listrat said: “This sends a devastating message to students and staff who believe our university should uphold human rights and invest in education, not the arms trade. 

“Students voted for their university to strengthen its ethical standards, not make it easier to profit from companies connected to armed conflict.”

Student representatives have expressed concern about the university’s expressed desire to invest in its main research partners in the defence sector. 

Birmingham is one of five universities that are “strategic partners” of BAE Systems, which makes key parts for the F-35 fighter jets Israel uses to commit war crimes in Gaza.

Birmingham also partners with Thales, Leonardo, and QinetiQ, which have exported military goods to Israel.

The previous ethics restrictions prevented the university from investing in outright weapons firms. 

But it does invest in and partner with “dual-use” companies like Rolls-Royce, which makes both civilian and military products, including for Israeli armoured vehicles used to attack hospitals in Gaza, according to activist group Birmingham Liberated Zone.

The university has reportedly applied to join the Defence Universities Alliance (DUA), established by the government to bring academic organisations into the “defence industrial base.” 

The DUA has been condemned for militarising education and undermining universities’ purpose as educational and socially beneficial institutions.

It has been contacted for comment.

A University of Birmingham spokesperson said: “We have not made any changes to our investment portfolio due to the change in policy and our responsible investment expectations are not being lowered. We still set the objectives and constraints for our portfolios, while the Outsourced Chief Investment Officer (OCIO) manages day-to-day decisions within them.

“Our updated policy strengthens how we explain, oversee and evidence that approach, moving from a fixed list of exclusions to clear, principles-based expectations covering legal compliance, ESG integration, stewardship, voting, climate, human rights and governance.”