The largest-ever UK industry survey has found that 73% of organizations are prioritizing net zero, but over half face significant barriers.
The UK Net Zero Business Census report, which surveyed 2,005 organizations across all sizes and sectors, was released by the UK Business Climate Hub in partnership with Planet Mark and over 50 major business associations, banks, and corporations, including the CBI, Make UK, Institute of Directors, and the British Chambers of Commerce.
To align with the net zero goal, 65% of respondents have established net zero targets by 2050, with 48% aiming for a more ambitious deadline of 2035.
Carbon reduction efforts are underway, with 57% of respondents having developed plans and 34% aiming to achieve measurable carbon reductions within the next year.
In the construction sector, 59% have implemented carbon reduction plans, 24% are planning to do so, 40% have achieved measurable carbon reductions, 60% have adopted waste management and reduction initiatives, and 42% are prioritizing lower-carbon suppliers.
Despite the strong commitment to net zero, organizations face significant obstacles, including high costs, limited access to finance, time constraints, outdated infrastructure, regulatory uncertainty, and lack of reliable information.
To overcome these challenges, 92% of organizations believe increased government support is essential, citing the need for the establishment of clear, long-term regulatory frameworks. This support is particularly crucial for SMEs, which are indirectly impacted by carbon disclosure regulations through their supply chains. In fact, 37% of SMEs have been requested to provide carbon data by customers, compared to 55% of larger organizations.
Ed Lockhart, convener of Broadway Initiative who manage UK Business Climate Hub said: ‘Despite these significant strides, substantial challenges remain, particularly for SMEs who often lack the same access to resources available to larger organisations. To address these disparities and drive collective action for all, we recognise the need for greater partnership between government and business to develop sector-specific decarbonisation pathways and guidance, as well as enhanced financial mechanisms.’
Andrew Griffiths, director of Policy & Corporate Development at Planet Mark added: ‘The findings send a clear message that targeted support and a stable policy environment is critical for them to implement effective net zero strategies, which the Labour government have a unique opportunity to deliver.’
The UK Business Climate Hub is a one-stop online platform designed to assist SMEs in their efforts to reduce carbon emissions, while Planet Market is an international specialist in carbon reduction and net zero.
