PRESSURE from students has led the University of York to review its ethical investments policy.

A group of students from the People And Planet, Amnesty International and FreeSoc societies organised a day to protest against the university's investment in the companies that support the arms trade.

Almost 1,000 current and former students signed a petition, and about 20 of them staged a "die in" protest at the university's Heslington Hall.

As a result, the university has agreed to set up a working group made up of students and officials to review its ethical investments policy.

In March, a group of societies was formed to put pressure on the university to change.

It presented the administration with ways in which it thought they should do so.

People And Planet claimed the university had 147,100 direct shares in BAE Systems and 1,350,000 indirect shares in tank manufacturer GKN (Guest, Keen and Nettlefolds), while at the same time holding 1,354,663 indirect shares in the Campaign Against The Arms Trade.

Ric Lander, chairman of the People And Planet society, said: "Universities, companies and even local councils are starting to wake up to the reality that money from their investments has a huge influence on the outside world.

"The arms trade is a perfect example of how profits are often put before corporate responsibility.

"Our university shouldn't be supporting firms that have no respect for fundamental human rights."

Micky Armstrong, student union president, said: "This is a really positive step, and the university seems more than willing to listen and sit down with students, and find out how they think they should change their investments.

"It makes a real change given what has been going on recently at the university with the pay dispute.

"I think this time it was more the case that they didn't realise some of their investments were ethically unsound and, now the students have called on them to get their act together, they have responded."

University registrar Sally Neocosmos, who will head the working group, said: "We have set up a working group of students and staff to work towards an ethical investment policy for the university.

"The first meeting will be held before the end of the month, and we hope to make rapid progress on this issue, in line with a number of other UK universities."