Smaller businesses reveal their path to net zero

Many businesses are embracing the UK's goal of being a Net Zero nation by 2050 by embarking on sustainability changes to lower emissions of greenhouse gases.

The British Business Bank found that while smaller businesses account for around half of all UK business-driven emissions, 94% had taken at least one action to reduce their emissions.

However, the British Business Bank report found that smaller businesses are mostly at the early stages of transitioning to net zero, with just over three-quarters yet to implement a decarbonisation strategy.

So what's involved in becoming a net zero business? We spoke to two businesses – both signed up to the UK's government SME Climate Hub and committed to being Net Zero by 2030 – about the changes they've made and the lessons they've already learned.

Simplelifeco

Welsh business Simplelifeco supplies businesses with 100% compostable and recyclable packaging materials, from boarded envelopes to sweet bags.

"When we started trading in 2019, we realised just how much single-use plastic we needed to use to fulfil orders. If we, as a new business, were using this much plastic, then other, much larger businesses must be in the same position or even using more", explains co-founder and director Beth Keeble.

To develop a more sustainable business model, Simplelifeco partnered with Ecologi to plant trees to offset carbon emissions. So far, they've planted over 3,000 new trees. With every purchase equalling one new tree, they've found that larger, wholesale client purchases can result in up to 100 trees planted in a single order.

They have also been certified by Forest Stewardship Council and have signed Business Wales' Green Growth Pledge.

Since moving into their new warehouse for their expanding business, Simplelifeco has partnered with Octopus Energy to run its daily operations on 100% renewable energy.

But as the business rapidly grows, so does the scope of their environmental impact.

"Getting to our new warehouse involves a daily commute. This means that the next goal for us to work towards is buying a fully electric vehicle so that we can travel worry-free."

Bethan's advice for other smaller businesses looking to start their net zero journeys is simple: "Even the smallest steps are steps in the right direction. Take them today and help us as a nation meet our net zero target tomorrow."

Barnaby's Brewhouse

Starting life in a dilapidated barn on a farm in Devon, Barnaby's Brewh opted for a sustainable approach right from the start.

Focused on using sustainable energy sources, including solar power from a local solar farm and a natural water spring to power everyday operations, directors Tim Stacey and Barnaby Harris say that they "basically designed the business around the environment".

"Speed costs money. It'll always cost money," says Tim, explaining that their deliberately slow approach to getting Barnaby's Brewhouse up and running was critical to their sustainable and financial success. Besides finding the best location to harness sustainable energy sources, Tim and Barnaby avoided buying anything new for the business. Instead, along with reclaimed items from other breweries, they purchased second-hand equipment and customised it to their needs.

The duo's plan is to make the brewhouse as energy-efficient as possible.

They filter the brewery's wastewater through a modular reed bed system before it is sprayed onto the fields and plan on switching from glass packaging to repurposed keg fridges that act as intelligent cellar systems for clients.

The team have also started work with Plymouth FabLab on a CO2 harvester that repurposes CO2 back into the manufacturing process.

An energy-optimised extension to the brewery is being designed in a second regenerated barn as the business expands

"It all just happens by having the right mindset at the beginning," says Tim.

How to start your journey to Net Zero

You don't need to be a dedicated green business to be a Net Zero operation.

Small steps and simple swaps can start to reduce carbon emissions.

Some sectors, such as manufacturing, can drive change faster through innovation, making products and materials that support Net Zero activities up and down the supply chain.

If you are at the beginning of your journey, take time to plan your approach before implementing changes across business operations.

A good place to start is to measure your business's carbon footprint.

To calculate your carbon footprint, use the Carbon Trust's online carbon footprint calculator.

You'll need 12 months of data regarding your fuel and energy consumption, but informed estimates based on previous data will do if you don't have exact numbers.

If you want to go more in-depth with your calculations, you can download the Carbon Trust's carbon footprinting guide.

Once you have a clear picture of your carbon output, set yourself achievable goals in achievable timeframes to work towards.

3 net zero tips from smaller businesses

  • Do an energy audit on your business across everything from daily office operations all the way through your supply chain and equipment. That way you can find out how much energy you are using and the carbon emissions involved.
  • Don't ignore the little things like switching to LED lightbulbs in workspaces and turning off electrical appliances overnight where feasible.
  • If possible, introduce more flexible working options for your employees to reduce wasteful commuting time and pollution. If this isn't an option, introduce green commuting schemes like Cycle to Work or encourage carpooling.

Reference to any organisation, business and event on this page does not constitute an endorsement or recommendation from the British Business Bank or the UK Government. Whilst we make reasonable efforts to keep the information on this page up to date, we do not guarantee or warrant (implied or otherwise) that it is current, accurate or complete. The information is intended for general information purposes only and does not take into account your personal situation, nor does it constitute legal, financial, tax or other professional advice. You should always consider whether the information is applicable to your particular circumstances and, where appropriate, seek professional or specialist advice or support.

Green Decoder

Featuring a glossary of sustainable terms curated in partnership with the Nottingham Business School, Nottingham Trent University, our green decoder is helping smaller businesses decipher the terminology surrounding decarbonisation.

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