Sustainability and ESG (Environmental, Social and Corporate Governance)
With more and more businesses recognizing the need to balance their economic and financial activity against non-financial aspects, there has been an increasing interest in how to develop a sustainability strategy which integrates all aspects of a business.    The challenge is that, for sustainability to be effective, it needs to match the expectation of its stakeholders against the business priorities, and requires careful integration with existing activity in a way that enhances rather than hampers performance.

At the forefront is the focus on how businesses can reduce their impact on climate change. Following the UK presidency at COP26, it is clear that businesses have voluntarily stepped up to play their part, but a raft of new legislation is expected to come into force in the coming years.

At Intrinsic we work with our clients to evaluate what are the most important expectations of their stakeholders, how this matches the current business goals and strategies, the impact of legislation both current and future, and the opportunities to close any gaps and improve performance. The goal is to embed sustainability into what your organisation does every day, rather than be a bolt-on extra or an after thought.

Call us on 01296 532 033  or email us at [email protected]

What the law says

There is not currently one overarching piece of UK legislation covering all Sustainability and ESG factors. However, there are various regulations covering aspects that companies must comply with in different ways, depending on their size, sector and scope. These derive from a range of legislative sources and official guidance.

What the law is

Greenhouse gas reporting: Mandatory for quoted companies since 2013 under the Companies Act 2006 (Strategic Report and Directors’ Report) Regulations 2013

Energy use: Quoted companies must report on their global energy use, and large businesses must disclose their UK annual energy use and greenhouse gas emissions. This is required by the Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018, also known as SECR.

Energy Savings Opportunity: Quoted companies with a headcount of more than 250 and a turnover of above £36M must carry out an energy audit and identify opportunities for energy savings every 4 years. This is required by the Energy Savings Opportunity Scheme Regulations 2014

Environmental Reporting: In 2019 The UK government issued guidelines to clarify expectations from companies in terms of environmental reporting.
Gender pay gap: Any employer with a headcount of 250 or more must comply with gender pay gap reporting regulations.

Modern Slavery: UK organisations with an annual turnover of £36 million or more must publish an annual statement setting out the steps to prevent modern slavery.

Antibribery and Corruption: Bribery Act 2010

Health and Safety: Health and Safety at Work Act 1974

Discrimination: Equality Act 2010

Non-Mandatory Reporting Guidelines and Frameworks include:

What we can do for you

  • Carry out an evaluation of your existing activity around sustainability and ESG
  • Provide a Materiality Analysis giving you insight into how your stakeholders expectations and priorities match your existing business goals
  • Work with you to develop your sustainability objectives, targets and timescales
  • Carry out a gap analysis and establish priorities
  • Incorporate a sustainability strategy into your existing business plan
  • Put in place a governance structure to drive sustainability performance across the business
  • Ensure activities meet legislative current and near future requirements
  • Highlight the reporting and communication opportunities to take advantage of sustainability as a driver of external competitive differentiation and internal performance improvement
  • Provide support in implementing specific sustainability action plans through Intrinsic’s network of specialist consultants.