Strategic Focus: Understanding ESG And Sustainability Regulations In The UK

Report

Corporate Sustainability Leaders

Lily Turnbull

Kim Knickle

07 Apr, 2025

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Executive Summary

Sustainability is an important political and cultural topic in the UK. The country is increasingly exposed to sustainability pressures, such as biodiversity loss, natural resource scarcity and climate change. However, the green transition also has the potential to drive employment and economic growth across the country. Accordingly, the UK has a mature regulatory environment for sustainability, notably becoming the first major economy to enshrine a 2050 net zero emissions target in law. Since leaving the EU in 2020, the UK has introduced new policies and regulations in areas such as corporate sustainability reporting, sustainable finance, deforestation, carbon tariffs and sustainable agriculture. This report provides executives with an overview of recent shifts in the UK’s sustainability landscape and the actions they can take to best prepare for these changes.

Table of contents

The UK has strengthened its commitment to sustainability over the past decade
The UK has set ambitious sustainability targets, which require a cohesive strategy
Regulations will be crucial to the UK’s ability to achieve its sustainability commitments
To ensure future readiness, British businesses should start preparing now

Table of figures

Figure 1. UK key sustainability commitments, policies and regulations
Figure 2. Net UK territorial GHG emissions by sector (2023)
Figure 3. Role of UK industry in advancing a sustainable transition
Figure 4. UK ESG and sustainability policies and regulations

Organisations mentioned

About the Authors

Lily Turnbull

Senior Analyst

Lily is a Senior Analyst at Verdantix, where she delivers in-depth research to help executives navigate ESG, sustainability and product innovation, and make confident decision...

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Kim Knickle

Research Director

Kim Knickle is a Research Director at Verdantix, bringing more than two decades of analyst experience to the evolving world of sustainability. Her current research spans ESG a...

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