UK-based companies will now have access to brand new advice and support to help them decrease their energy expenses while lowering their carbon footprint. The UK Business Climate Hub, which announced its launched on August 14, 2023, is all set to offer net zero advice for SMEs in the UK.
It features a free carbon calculator, tracking and reporting tools, energy-saving guidance, green supplier sourcing, logistics emissions reduction, and assistance with implementing renewable energy solutions.
The hub aims to help businesses measure, track, and report emissions, save money by using less energy, and adopt sustainable practices like sourcing from green suppliers and installing solar panels and EV charging points.
Transition to net zero emissions
The new site is endorsed by business leaders and ministers on the Net Zero Council. The Council, consisting of CEOs from companies like Co-op, HSBC, Siemens, and Cemex, has developed a framework for sector-specific roadmaps.
These sector roadmaps would help companies the length and breadth of the country, from Aberdeen to Aberystwyth, and Penzance to Peterborough, to transition to net zero.
In 2020, the UK had over 400,000 jobs in low carbon businesses and their supply chains, with a turnover of £41.6B. Government policies since 2020 have led to the creation or support of 80,000 green jobs, and this number could potentially reach close to 500,000 by 2030, increasing the importance of the green economy for employment and economic growth in the country.
How can companies reduce CO2 emissions?
The UK Business Climate Hub emphasises that implementing these measures can lead to significant savings for companies:
For instance:
- Electric Vehicles (EVs): Transitioning to EVs can result in reduced running costs and lower servicing and maintenance expenses, which are approximately 40 per cent less compared to traditional petrol or diesel cars.
- LED Lighting: Making the switch to LED bulbs from traditional lighting sources can cut lighting-related electricity bills by up to 40 per cent, considering that lighting often accounts for about half of a company’s overall electricity expenses.
- Fuel Efficiency Training: Providing drivers with fuel efficiency training can lead to an average fuel use and carbon emissions reduction of around 15 per cent in the transportation of goods, contributing to both cost savings and lower environmental impact.
By adopting these practices, businesses can not only contribute to carbon emissions reduction but also experience tangible financial benefits by decreasing overhead expenses.
Going green can help grow the economy
The newly introduced support is aimed at assisting 5.5 million small and medium-sized businesses (SMEs) in the UK, which contribute to about 25 per cent of emissions from business and industry.
Research indicates that while 90 per cent of SMEs are interested in addressing climate change, many struggle to find the right solutions to reduce their carbon footprint.
Additionally, studies show that 85 per cent of consumers are more likely to purchase from environmentally sustainable businesses, suggesting that embracing green practices can contribute to economic growth.
Graham Stuart, Minister of State for Energy Security and Net Zero, says, “The UK has cut its emissions more than any other major economy in the world. More and more businesses are recognising the business benefits of reaching net zero and we’re determined to empower them to do so.”
“The new UK Business Climate Hub is a one-stop-shop for businesses to find practical advice to reduce their carbon footprint and save on their energy bills. Whether it’s fitting a low-carbon heat pump, generating energy with solar panels, or reducing the emissions from shipping goods, the new support will ensure businesses can drive towards net zero,” adds Stuart.
One-stop-shop for businesses who have yet to start making changes
The new UK Business Climate Hub is a resource designed to assist businesses at various stages of their sustainability journey. It caters to both businesses just starting to make changes and those already committed to emission reduction efforts.
The hub offers tools for measuring and reporting emissions, alongside guidance on several initiatives, including:
- Transportation: Advice on transitioning employee modes of transport and securing cost-effective electric vehicles (EVs) for company use.
- Financial Support: Information on obtaining business grants, green loans, and financing for retrofit projects to enhance energy efficiency.
- Renewable Energy: Support for adopting green energy solutions like air source heat pumps and wind turbines, even enabling businesses to sell excess energy back to the grid.
- Agriculture and Land Use: Strategies to reduce emissions associated with farming and land utilization.
- Carbon Offsets: Information on credible carbon offset programs to help neutralize emissions.
- Certifications: Guidance on obtaining low-carbon product labels and certifications.
- Waste Reduction: Tips for minimizing waste generation and increasing recycling efforts.
The hub serves as a centralised platform to empower businesses with practical steps and resources for enhancing sustainability, from transportation to energy generation, emissions reduction, and waste management.
It caters to businesses seeking to initiate positive changes and those aiming to elevate their existing sustainability endeavors.
Martin McTague, National Chair of the Federation of Small Businesses says, “In addition to helping small firms become more energy and resource efficient, the hub also has the opportunity to empower small firms to take ambitious steps towards net zero, ultimately ensuring that they also benefit from the economic opportunities created in a net zero economy.”
Brief about the UK Business Climate Hub
The UK Business Climate Hub, managed by the Broadway Initiative, is a collaborative effort involving various associations and support from institutions like British Business Bank, HSBC, NatWest, and more. It is associated with the international SME Climate Hub.
The Net Zero Council, part of the initiative, seeks to guide sectors and companies toward net zero, review financing challenges involving government and industry, and assist SMEs in reducing carbon footprints.
Research by Sage and the International Chamber of Commerce shows that 90 per cent of SMEs are interested in addressing climate change. Economist Impact’s research indicates that 85 per cent of consumers prefer businesses with sustainability reputations.