Firms remain committed to reducing their environmental impact

The ‘Net Zero and Sustainability: Business Insights Report 2023-2024’, produced by the Greater Birmingham Chambers of Commerce, has indicated resilience among businesses towards net zero despite a backdrop of cost pressures, labour market challenges, and supply chain disruptions caused by geo-political tensions.

The report, sponsored by Lloyds Bank and University College Birmingham, also indicated that 72 per cent of organisations have implemented measures aimed at reducing their environmental impact. This is an increase of seven percentage points compared to 2022.

Of those businesses who have already implemented measures, 29 per cent intend to introduce additional measures in the short term while 34 per cent intend to introduce additional measures in the longer term.

Among businesses who haven’t implemented measures yet, seven per cent aim to introduce measures in the short term and a further seven per cent are planning for a long term approach.

Meanwhile, research by the British Chambers of Commerce found that 38 per cent of West Midlands firms have said recent government changes are likely to have no impact on their organisation.

The research also points to 37 per cent of organisations being unaffected by the Birmingham Clean Air Zone and a further 43 per cent of organisations saying the Clean Air Zone having a negative impact on business.

Also 40 per cent of firms reported that the national grid is not providing their organisations with what it needs in terms of energy supply, connectivity and future-proofing.

In terms of the net zero targets implemented by the government, 36 per cent are not aware of the details despite knowing a target exists and further 7 per cent of firms are not aware of the target.

GBCC director of external affairs Raj Kandola stressed the importance of tailored support from regional and national stakeholders to reduce carbon footprint.

He explained: “This report marks the third year running in which the Greater Birmingham Chambers of Commerce has sought to understand local business sentiment towards a range of issues related to environmental sustainability.

“Throughout 2023 businesses continued to grapple with cost pressures, labour market challenges and supply chain disruption caused by geo-political tension.

“The research presented in this report suggests that despite these ongoing challenges and fluctuations in national environmental policy, businesses remain increasingly committed to reducing their impact on the environment.

“The resilience and continued dedication of businesses in reducing emissions reflects a growing understanding of the risks presented by climate change and the importance of ensuring environmental matters are at the heart of business growth.

“However, whilst sustainability considerations are in the hearts and minds of business leaders, it is becoming increasingly apparent that firms require tailored support from regional and national stakeholders in order to enact best practice approaches to reduce their carbon footprint.

“As a chamber, we will continue to support businesses navigating through these challenging circumstances on the journey to net zero.

“With interest rates expected to come down this year and the impact of inflation easing, it is important to ensure business growth aspirations continue to consider the climate change agenda.

“The chamber will look to help businesses develop their knowledge and understanding of this agenda through channels such as the Net Zero Network and campaigns such as the Sustainable Business Series, which for the first time in 2024-2025 will be delivered over the course of 12 months, incorporating best practice advice and guidance around topics such as energy, waste and green infrastructure.”