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UK’s big businesses continue to prioritise net zero despite political pushback, according to largest ever UK business survey on climate action

Press release 21 October 2025

  • Survey of over 2,000 UK firms finds nearly 8 in 10 large businesses (79%) consider net zero to be a strategic priority for the year ahead, with over a third of SMEs (35%) also putting an emphasis on action.
  • Companies continue to see value in climate action, with only 3% of large businesses and 25% of SMEs saying net zero brings no benefits.
  • Investment and action on net zero is at risk of slowing, with 70% of businesses citing regulatory uncertainty as a barrier to progress.

The largest-ever survey of UK businesses on their approach to net zero reveals that 79% of large companies view it as a strategic priority for the year ahead. More than a third (35%) of small and medium-sized enterprises (SMEs) also regard net zero as a priority, despite facing fewer regulatory and reputational pressures compared to larger firms.

The 2025 UK Net Zero Business Census surveyed over 2,000 British businesses, providing the most in-depth insight to date on the UK private sector’s attitudes and actions towards net zero. It has been delivered by the UK Business Climate Hub in partnership with Planet Mark, Sage, and a coalition of more than 50 leading business organisations, including the British Business Bank and the British Chambers of Commerce. 

It shows that companies believe progress on net zero can go hand in hand with value creation. Only 3% of large organisations believe net zero has no business benefits, rising to 25% among SMEs. 

As businesses step up their net zero commitments, a greater emphasis is being put on collecting emissions data throughout supply chains, as a critical first step to identifying and implementing meaningful reductions. This is reflected in the reports, with over half of large UK organisations (51%) having received requests for carbon data from customers or as part of tender applications, rising to 62% among those exporting to international markets. Even among SMEs, 37% of medium-sized businesses, 20% of small businesses and 8% of microbusinesses have been asked by customers for carbon data in the last 12 months. 

Andrew Griffiths, Policy Director at Planet Mark said: 

Although the political consensus on climate action is destabilising, British businesses are still clearly committed to net zero. When leaders look at the evidence and think about long-term strategy, it is becoming increasingly apparent that the businesses that act today to enhance efficiency, reduce emissions and build resilience to environmental impacts are setting themselves up for success in a more sustainable future. These landmark reports show how the private sector can lead the net zero transition in the UK. It also highlights how small and mid-size companies that can demonstrate their action on climate change can gain a competitive advantage, as committed larger businesses find ways to tackle their supply chain impacts.

Barriers and recommendations

The report highlights a set of persistent roadblocks holding back business progress on net zero. Regulatory uncertainty remains a significant challenge, with 70% of UK organisations citing it as a barrier. Costs being too high (80%) and a lack of finance or grants (69%) were also identified as barriers. 

Based on the survey findings, the report sets out clear recommendations to ensure businesses can play their part in delivering the UK’s 2050 net zero target. It calls on policymakers for greater regulatory clarity and standardisation, including the swift publication of UK Sustainability Reporting Standards and Streamlined Energy and Carbon Reporting updates and reference to upcoming international standards such as the ISO net zero standard (ISO 14060).

It also calls for expanded access to financial mechanisms – such as grants and proposed “Help to Green” vouchers – to support SMEs in starting carbon reduction projects. Capacity building with SMEs could also be achieved through government and industry partnering on a major communications campaign to raise awareness with SMEs of trusted guidance like the UK Business Climate Hub, while investment in targeted training can build carbon emission measurement and reduction capabilities across SME workforces.

Henrik Micsk, Senior Climate Manager at Sage said: 

It is positive that the data illustrates progress towards net zero action amongst businesses, but it also highlights the significant challenge that still exists to align with a 1.5-degree world. As a result, this dataset provides vital information to support the drive for faster and more targeted policies and action.

Ed Lockhart, Convener at Broadway Initiative said:

UK Business Climate Hub is delighted to have worked for a second year with Planet Mark to produce the Net Zero Census. UKBCH is the shared online service, backed by the government, the major trade associations, the retail banks and the electricity networks, for advice and support on energy efficiency and net zero for smaller business. The results from this year’s Census will help guide our work. 37% of medium sized firms have been asked for carbon data from customers in the last year, showing the importance of delivering the universal SME carbon reporting standard we’ve been working on with B4NZ. The finding that 25% of SMEs see no business benefits from cutting emissions is driving us to increase the amount of accessible information on the site on how to seize these commercial benefits.

Publication of SME report

Alongside the 2025 UK Net Zero Business Census Summary Report published by Planet Mark, the British Business Bank has published the SMEs and Net Zero report, which looks specifically at smaller businesses. This report finds that most SMEs (63%) report organisational benefits from progressing towards net zero and that three-quarters (77%) have taken steps towards it. The report also provides updated estimates on SME greenhouse gas (GHG) emissions and finds SMEs account for around 1/3 of the UK’s total GHG emissions (37%) and half of all business emissions.

Hannah Gilbert, Director of Sustainability at British Business Bank, said: 

Businesses of all sizes have a role to play as innovators, employers, and community anchors. By exploring their net zero journeys, we can learn how best to back them — ensuring they contribute to and benefit from the UK’s green transition. It is encouraging to see that over three-quarters of smaller businesses have already taken steps towards net zero as they will be critical to the UK’s transformation into a low-carbon economy.

Further Information

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Notes to editors

About the 2025 UK Net Zero Business Census

Launched in June 2025, the second year of the census was delivered by the UK Business Climate Hub in partnership with Planet Mark, Sage, and 50+ other leading business associations and corporates. The research is endorsed by the DESNZ Net Zero Council.

With a sample size of 2,018 responses, this year's Census is the largest known national survey of UK industry progress on net zero, and the results have been weighted in line with business population making it a nationally representative sample.

About UK Business Climate Hub 

The UK Business Climate Hub is the nation's net zero portal for small and medium sized enterprises (SMEs), which condenses carbon-cutting advice into one easy to use website. Through the website, businesses can access financing and support, guidance on steps to reduce emissions, and sector-specific plans for reaching net zero. The UK Business Climate Hub is a shared endeavour, developed with the Department for Energy Security and Net Zero (DESNZ), the international SME Climate Hub and the UK’s main business organisations, energy networks, high street banks, other leading businesses and professional bodies. The coalition is managed by the Broadway Initiative, the coalition of major trade associations working with business, government and ENGOs to facilitate the collaboration necessary to achieve the UK’s net zero and environmental goals. For more information, visit Business Climate Hub.


About Planet Mark 

Planet Mark is an internationally recognised leader in net zero certification, with over 12 years of experience in helping organisations reduce carbon emissions, achieve net zero targets and generate long-term business value. We are committed to empowering organisations to solve the climate crisis. Recognised by the United Nations Framework Convention on Climate Change (UNFCCC) as a Cooperative Climate Initiative and partnered with the UN High-level Climate Champions, Planet Mark drives meaningful climate action for 700+ Member organisations. For more information, visit Planet Mark.

About Sage

Sage exists to knock down barriers so everyone can thrive, starting with the millions of Small and Mid-sized Businesses served by us, our partners and accountants. Customers trust our finance, HR and payroll software to make work and money flow. By digitising business processes and relationships with customers, suppliers, employees, banks and governments, our digital network connects SMBs, removing friction and delivering insights. Knocking down barriers also means we use our time, technology and experience to tackle digital inequality, economic inequality and the climate crisis. For more information, visit Sage.

About the British Business Bank

The British Business Bank is the UK government’s economic development bank. Established in November 2014, its mission is to drive sustainable growth and prosperity across the UK and to enable the transition to a net zero economy, by improving access to finance for smaller businesses. Its remit is to design, deliver and efficiently manage UK-wide smaller business access to finance programmes for the UK government.

The British Business Bank’s core programmes support £23bn 1  of finance to almost 64,000 2  smaller businesses.

British Business Bank plc is a public limited company registered in England and Wales, registration number 08616013, registered office at Steel City House, West Street, Sheffield, S1 2GQ. It is a development bank wholly owned by HM Government. British Business Bank plc and its subsidiaries are not banking institutions and do not operate as such. With the exception of BBB Investment Services Limited they are not authorised or regulated by the Prudential Regulation Authority or the Financial Conduct Authority. BBB Investment Services Limited is authorised and regulated by the Financial Conduct Authority. A complete legal structure chart for the group can be found at British Business Bank.

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