3 minute read
Environment
Carbon footprint a mystery to nine in ten small firms
Only 11% of businesses are measuring their carbon footprint, research published by the British Chambers of Commerce (BCC) and O2 has found.
This figure falls to 9% for small businesses and 5% for microbusinesses with fewer than ten employees. By contrast, 26% of larger firms with more than 50 employees are measuring their carbon footprint.
The research also showed only one in seven (13%) have set targets to reduce their emissions – down from one in five (21%) when firms were surveyed before the pandemic in February 2020.
In addition, almost two thirds (64%) of businesses surveyed said they don’t see net zero targets as a high priority in the wake of the pandemic, although half (49%) admit their customers are worried about the environment.
The findings also show that one in five businesses (22%) don’t fully understand the term ‘net zero,’ and almost a third have yet to seek advice or information to help them develop a net zero roadmap or improve their environmental sustainability.
With the impacts of the pandemic and other priorities weighing heavily on small and mediumsized businesses, the research found that smaller firms were far more likely to be behind on climate action. When it came to setting carbon reduction targets, 27% of larger firms have done so, compared to just 9% of microbusinesses.
The main barriers preventing respondents from making their business more sustainable are high upfront adaptation costs (34%) and a lack of finance (30%).
Getting access to grants (28%), tax allowances (14%) and reducing the costs of making adaptations (14%) were cited as the three steps businesses would most like to see to help them reduce their carbon consumption within the next six months.
In response to the findings, the BCC and O2 have launched a free online hub to help businesses find out how to measure their carbon footprint, set targets and develop an overall net zero strategy. The new hub provides a one-stop-shop for businesses to find out everything they need to know about net zero. It is packed with information on how to apply for grants, where to seek specialist advice and practical tips from firms that have already taken action.
Jo Bertram, managing director, business & wholesale at Virgin Media O2, said: “In May, the Government called on small businesses to lead the charge and pledge to reach net zero by 2050 or sooner, but our research shows that to do this, they need more support. From microbusinesses to larger firms, SMBs have told us they’re concerned about the environment, but in the wake of lockdowns and growing economic pressures, the majority are understandably facing barriers to improving their sustainability.
Shevaun Haviland, director general of the BCC, said: “This research is a real eye-opener and shows just how big a challenge the UK’s net zero target is. The dual impacts of the pandemic and Brexit have been a huge body-blow to many businesses, so it’s unsurprising that targeting emissions has taken a back seat.
“But change has to come, and our Net Zero Hub makes clear that the earlier firms adapt then the greater the advantages will be – they cannot afford to get left behind.
“The climate challenge is one that affects every single one of us and business has a big part to play in tackling it. But the government must also recognise that smaller firms will need access to grants, subsidies and other financial support to help them take effective steps on the journey to a greener future.”
To find out more about how the new Net Zero Hub, visit https://
