CEO
Edited: 15 Jul 2025
20 min read
Our Climate Commitments 2025 report surveyed a total of 1,400 UK business leaders, from SMEs (1-250 FTE) to larger businesses (250-1000 FTE), spanning all regions of the UK and 28 professional sectors.
While the prevailing public narrative often paints a picture of climate retrenchment and gloom, the findings of our report tell a different, more optimistic story: a story of positive determination and accelerating commitment from UK businesses to drive growth.
Far from throwing in the towel, businesses are doubling down. The evidence suggests that we are entering a new chapter of business-led climate action, one defined by increasing investment, growing sophistication, and a pragmatic focus on the road to 2030.
This year's findings highlight three pivotal themes: businesses are increasing sustainability investment as they recognise its value for success, confidence in net-zero targets and carbon credits is returning as greenwashing fears fade, and familiar barriers persist while businesses seek tailored solutions.
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1. Sustainability investment grows as businesses recognise its value for success
82% of business leaders who believe that those taking decisive climate action today will be the more successful business leaders of tomorrow with 80% of businesses now agree that sustainability is a core part of their business strategy, and 85% believe that investing in sustainability delivers positive business results.
The motivations are clear and increasingly business-focused: driving growth and new market opportunities (28%), protecting brand reputation (26%), and attracting/retaining customers (23%). This strategic importance is further evidenced by the 72% of businesses that have set sustainability targets (a 9% YoY increase) and the tangible benefits they report, including improved brand image (43%), increased productivity/innovation (40%), and, crucially, increased revenue or market share (33%, an 11% YoY jump).
As a result, a striking 57% of businesses are set to increase their investment in sustainability initiatives over the next five years, a significant 16% rise year-on-year, with an average anticipated investment increase of 40% by 2030. This is matched by resources where 77% of business leaders feel their sustainability leader receives adequate to more than enough support from senior leadership, indicating growing internal alignment to bolster overall efforts.
2. Renewed confidence in net-zero targets and carbon credits, as greenwashing fears fade
When it comes to measuring and reducing emissions, 82% of businesses are focused more on achievable near-term 2030 targets, perceiving 2050 net-zero goals as too distant for immediate operational planning. Despite this, there's growing momentum, with 42% now on track to reach net-zero by 2050 or sooner – a notable 15% increase from 2024. Progress in measurement is evident: nearly half (48%) have been measuring consistently for several years (+12% YoY), and almost a third (30%) began in the last year. This is translating into action, with 39% consistently reducing emissions and 34% achieving reductions in the past year.
Renewed confidence in carbon markets and offsetting is also on the rise. Only 16% now view carbon credits as risky or ineffective. Instead, the majority see them as a useful tool for global climate action (38%) and mitigating emissions (35%), with the important caveats that credits must be high quality (35%) and part of a broader strategy (30%) implemented after direct emissions reductions (28%). Preferred climate solutions are diverse, with strong support for both global and UK-based nature restoration projects (40%) including tree planting (32%), urban greening (28%), rainforest conservation (27%) and habitat restoration (25%).
There's also a renewed confidence in external communications, with 53% confident in their ability to report sustainability efforts without greenwashing accusations and nearly 1 in 3 (29%) believe it's better to communicate each step of their sustainability journey externally, regardless of possible accusations of greenwashing with 66% believing they accurately communicate their claims (+8% YoY).
3. Familiar barriers persist while businesses seek tailored solutions
Despite the overwhelmingly positive trajectory, businesses still face significant barriers. The cost of tools or technology (30%), time constraints (28%), and financial limitations (28%) remain primary concerns. A lack of government support (27%) is also cited. Critically, 24% still lack the ability to accurately measure their carbon footprint, and another 24% point to a lack of control or visibility over supply chain emissions – a challenge that has grown by 6% YoY, indicating its increasing complexity for larger organisations and a maturing awareness of where the next critical and paramount challenge lies.
There's a strong trend towards more specialized and tailored solutions, with 73% of businesses viewing carbon footprint measurement and emissions reduction guidance as more valuable if sector-specific, rising to 80% if endorsed by their industry body. Businesses are also prioritising product and service quality (34%), ensuring solutions are reliable today and scalable for the future. This is followed closely by ease of implementation and integration (32%), highlighting the need for user-friendly platforms that fit within existing IT infrastructures. Finally, compliance and risk mitigation (30%) forms the third key pillar, as businesses seek partners with expertise in navigating regulatory landscapes and controlling reputational or supply-chain risk.
The next five years: From plans to proof
The expectation isn’t just that more companies will make climate commitments, but that those with existing pledges will face intense pressure to show progress. By 2030, the landscape will likely split between climate leaders - who integrate sustainability into business models - and laggards, who may face exclusion from capital markets, loss of talent, and diminished brand trust. The window for experimentation and slow movement is closing. What was once optional is quickly becoming standard, and 2030 is not just a symbolic milestone - it’s a deadline.
What this means for your business
The findings paint a clear picture: businesses that embrace climate action today are positioning themselves for tomorrow's success. The question isn't whether to act, but how quickly and effectively you can implement solutions that demonstrate both climate leadership and business value.
As the UK's most trusted climate action platform, Ecologi is uniquely positioned to support businesses at every stage of their climate strategy – from reducing your emissions, to restoring our planet and reporting on your progress.
Ready to join the 57% of businesses increasing their investment in sustainability initiatives? Explore our solutions or speak to our team to discover how we can help accelerate your climate action to drive your business forward.