We can help you be accountable in your supply chain
We believe that we all have a responsibility to help save our planet & Future – Especially in the freight, transport and logistics sector.
Measuring and reducing emissions can help businesses improve their environmental performance and contribute towards wider climate goals.
We want to help you with some key targets and strategies to improve the business’s sustainability in the future especially regarding your supply chain.
When smaller businesses start to measure and reduce their emissions, the effects cascade through the value chain. We hope that our net zero and other sustainability goals and strategies will motivate other businesses within our sector, our clients, our suppliers, and our employees.
In the UK, understanding and complying with climate regulations is crucial for businesses. Governments and investors have long emphasized the significance of climate issues, and the landscape of climate disclosure regulations is evolving rapidly. Keeping up with these changes can be challenging for business leaders.
To help navigate this terrain, we’ve compiled a concise overview of key climate regulations applicable to businesses operating in the UK. Many smaller businesses fall outside the scope of these reporting requirements, although group structure and other circumstances can affect eligibility. Even where reporting is voluntary, emissions data is increasingly requested in tenders and by larger customers seeking to understand their supply-chain emissions.
UK sustainability reporting
The UK Sustainability Reporting Standards (UK SRS) build on the earlier Task Force on Climate-related Financial Disclosures (TCFD) recommendations. They provide a framework for reporting sustainability and climate-related risks and opportunities.
The Financial Conduct Authority has confirmed that relevant listed companies will report against UK SRS on a comply-or-explain basis for accounting periods beginning on or after 1 January 2027, with the first reports expected in 2028. Other businesses can use the standards voluntarily, and whether reporting is required depends on the rules that apply to the organisation.
As larger businesses develop their reporting, they may increasingly request emissions information from suppliers, including data relating to freight and other supply-chain activities.
Read the FCA announcement · Read the government UK SRS guidance
Direct emissions from owned or controlled sources.
Indirect emissions from purchased electricity, steam, heating, and cooling.
Other indirect emissions in a company’s supply chain.
Streamlined Energy and Carbon Reporting (SECR) began on 1 April 2019 and requires quoted companies, and large unquoted companies and LLPs, to report their UK energy use and greenhouse gas emissions in their annual report. Large unquoted companies and LLPs may be required to report under SECR where they meet at least two of the following criteria: turnover of more than £36 million, a balance sheet total of more than £18 million, or more than 250 employees. SECR guidance on GOV.UK.
The Energy Savings Opportunity Scheme (ESOS) applies to large undertakings: organisations with 250 or more employees, or with turnover above £44 million and a balance sheet above £38 million. They must complete an energy audit every four years. For Phase 4, organisations that qualify on 31 December 2026 must notify compliance by 5 December 2027 and report progress against their action plans. ESOS guidance on GOV.UK.
Many smaller businesses fall outside the scope of these reporting requirements, although group structure and other circumstances can affect eligibility. Even where reporting is voluntary, emissions data is increasingly requested in tenders and by larger customers seeking to understand their supply-chain emissions. Major central government contracts ask suppliers for a Carbon Reduction Plan (PPN 006 on GOV.UK), and larger clients need emissions data from their suppliers for their own Scope 3 reporting.
In conclusion, compliance with climate regulations necessitates accurate carbon footprint measurement and understanding emissions. Partnering with a trusted climate advisor can facilitate effective compliance and meaningful climate action.
