Barclays has entered into its first carbon removal agreement, partnering with UK-based startup UNDO to permanently remove over 6,500 tonnes of carbon dioxide from the atmosphere. The deal leverages enhanced rock weathering (ERW), a process that accelerates natural geological cycles by spreading crushed silicate rock across farmland, enabling CO₂ to be absorbed into soil and water where it is locked away for millennia.

Scope and Strategic Framework

For Barclays, the agreement represents a milestone in its decarbonization journey. The bank has already reduced its Scope 1 and 2 emissions by 95 percent as of the end of 2024 and has set its sights on achieving net zero by 2050. While much of its strategy focuses on financing transitions in carbon-intensive industries, this move signals a commitment to complement operational reductions with investments in permanent carbon removal technologies.

“Having reduced our Scope 1 and 2 emissions by 95%, we are complementing our core net zero operations strategy by investing in permanent carbon removal,” said Daniel Hanna, Global Head of Sustainable and Transition Finance at Barclays. “UNDO’s approach to enhanced rock weathering offers the potential for a scalable solution to permanent carbon removal, which is pioneering, and one we’re proud to support through this landmark offtake.”

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Economic and Environmental Impact

Founded in 2022, London-based UNDO is among a new wave of companies advancing engineered carbon removal solutions. Its technology accelerates the natural weathering process by spreading crushed silicate rock across farmland. When exposed to rainwater and microbial activity, the minerals bind with atmospheric CO₂, which is then carried into oceans and stored safely for hundreds of thousands of years. In addition to capturing carbon, the process improves soil fertility, boosts crop yields, and supports agricultural resilience.

As part of the agreement with Barclays, UNDO will spread finely crushed silicate rock over 10,000 acres of farmland in Ontario, Canada. The project is expected to capture measurable carbon benefits while simultaneously enriching soils with essential nutrients. For farming communities, this model creates a dual benefit: long-term carbon sequestration paired with improved agricultural productivity.

Governance and Validation

UNDO’s credibility has been reinforced by its recent recognition as a $5 million winner in the XPRIZE Carbon Removal competition, designed to accelerate scalable carbon dioxide removal technologies. The offtake agreement with Barclays not only provides a financial anchor for the company but also demonstrates growing institutional support for carbon removal as an essential complement to emissions reductions.

Jim Mann, Founder and CEO of UNDO, described the deal as a transformative step for the company. “This offtake is a powerful vote of confidence in UNDO’s ability to scale rapidly. With the backing of forward-thinking organisations like Barclays, we are expanding enhanced rock weathering across farming communities, delivering measurable co-benefits such as stronger soils, healthier crops and higher yields. This landmark partnership validates the expansion of one of the most impactful carbon removal solutions available today.”

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Challenges and Future Outlook

Despite the promise of ERW, challenges remain. The technology must prove that it can operate at scale, verify long-term carbon storage, and align with emerging carbon accounting frameworks. Market adoption also depends on overcoming skepticism around durability, monitoring, and cost efficiency compared with more established approaches. However, with institutional buyers like Barclays entering the space, ERW is increasingly positioned as a credible pathway within the carbon removal portfolio.

Looking ahead, UNDO plans to expand its operations globally, working with farmers and landowners to accelerate deployment. For Barclays, the partnership signals an evolution in how financial institutions engage with climate action not only by reducing their own footprints but by investing directly in the infrastructure of carbon removal. As the voluntary carbon market matures, such partnerships could become a critical lever in bridging the gap between corporate climate pledges and the scale of action needed to stabilize the planet’s climate.

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