Small firms aim to take big steps towards net zero

SMALL businesses are lagging behind their larger counterparts in establishing comprehensive climate plans, but are working to slash their carbon emissions, say experts.

Planet Mark founder Steve Malkin, who helps firms with sustainability goals, said that while small businesses are “probably a bit behind the curve, certainly on measurement, they’re not necessarily so on doing stuff”.

The UK aims to reach net zero by 2050, to emit less carbon than it sequesters through forests and other carbon-absorbing assets.

Thousands of businesses have signed up to net zero pledges, including oil companies such as BP and Shell. But research shows that smaller businesses are far less likely to have formal plans.

Only three per cent have measured their carbon footprint and set an emissions reduction target in the last five years, according to an estimate from the British Business Bank.

These account for around a third of the UK’s greenhouse emissions, so getting them onboard will be vital to meet the 2050 target.

Small Business Britain founder Michelle Ovens said: “British small businesses are terrible at hiding their light under a bushel. I think reports about them falling behind are maybe asking the wrong questions. I think small businesses are doing a lot of things every day, on the ground, bit by bit, to move the business forward and to consider sustainability.”

Mr Malkin and Ms Ovens both added that the movement from big businesses is encouraging smaller firms, particularly those who supply them, to change.

Ms Ovens said: “The carrot is doing it for both commercial and altruistic reasons. But the stick is, if you don’t do it, you’re going to be behind because the world is moving fast. There’ll be a tipping point, hastened by Covid.”

Human

That could come within the next two years if the economy recovers from Covid and the UK acts on COP26.

Mr Malkin said small businesses are run by people and often take a very human approach to cutting emissions.

He said: “In Covid, all sorts of companies have been coming to us, to say: ‘Yeah, we get those business benefits. But actually, I’m just a mum, or I’m a dad and I just want to do it.’ ”