A new ‘net zero census’ of 2,005 companies in the UK has revealed that over two-thirds (73%) class net zero as a medium priority or higher for their business strategy within the next 12 months, with 42% going further and rating this as a ‘high’ or ‘very high’ priority.
The UK Net Zero Business Census, published by the UK Business Climate Hub & Planet Mark, found that 80% of businesses are prioritising wider sustainability goals, with the majority (90%) anticipating a positive impact on public perception and reputation, and 88% expecting a benefit towards gaining new customers[i]. In terms of reaching net zero, two-thirds of the businesses surveyed said that they have already set a target date, with an additional 18% saying they intend to do so in the near future. Almost half of the net zero targets already in place (48%) are to fall within the next decade.
The research also claims that those companies with carbon reduction plans in place are already seeing positive results. Reportedly 57% of respondents have developed a plan to reduce carbon emissions, and 39% of those surveyed stated that they have already achieved measurable reductions. A further 24% of organisations intend to develop carbon reduction plans within the next 12 months.
High costs were cited as the most common hurdle in striving for net zero, with 59% of those surveyed stating it was a moderate or significant barrier. Other areas preventing net zero progress include regulatory uncertainty (50%), and a lack of trusted information sources (46%). Data is also a key area likely to be holding many businesses back - just a third (33%) of respondents indicate that they have measured a full baseline carbon footprint, while 29% plan to do so within the next 12 months.
Variation also exists based on the size of the company, where SMEs (Small and Medium Enterprises) were more likely than large organisations to report lack of time, expertise, regulatory certainty and not knowing where to start as 'moderate' or 'significant' barriers to progressing with net zero. The report noted that education can play a critical role here - organisations with a dedicated sustainability professional were 17% more likely to have set a net zero target, and to have realistic timelines for achieving these goals.
The research argues that there is a significant opportunity to bridge the gap for smaller organisations by providing tailored financial and proficiency support. Such initiatives would empower SMEs to contribute more effectively to national net zero targets, ensuring their active participation in broader sustainability efforts.
Ed Lockhart, convener of the Broadway Initiative which manages the UK Business Climate Hub said: “The transition to clean power and a zero-carbon future is both an environmental imperative and an economic opportunity. SMEs are well placed to capture the economic benefits of the low carbon revolution, through developing solutions needed across the economy and accessing new markets globally. But we need to help make taking decarbonisation action straightforward and accessible.”[ii]
[i] 2024-UK-Net-Zero-Business-Census-Report.pdf (planetmark.com)
[ii] UK Net Zero Business Census webinar and report - UK Business Climate Hub
Lauren has extensive experience as an analyst and market researcher in the digital technology and travel sectors. She has a background in researching and forecasting emerging technologies, with a particular passion for the Videogames and eSports industries. She joined the Critical Information Group as Head of Reports and Market Research at GRC World Forums, and leads the content and data research team at the Zero Carbon Academy. “What drew me to the academy is the opportunity to add content and commentary around sustainability across a wealth of industries and sectors.”
