ESG in UK Manufacturing: Growth, Supply Chain Cooperation and the Future of Sustainability

Read time: 1 min        Added date: 12/02/2024

" "

In partnership with Make UK

Britain’s manufacturers are stepping up their ESG commitments as the topic rises rapidly on the boardroom agenda in response to the growing labour market, government, investor and customer pressure. 

The number of firms setting ESG targets for their business has increased by 48%, with around two thirds (62%) of manufacturers now doing so since 2021, according to a new report (PDF, 3.2 MB) launched by Make UK and Lloyds Bank – ESG in UK Manufacturing: Growth, Supply Chain Cooperation and the Future of Sustainability in the Industry.

Progress, opportunities and challenges for the sector

The report (PDF, 3.2 MB), which looked at the progress, opportunities and challenges faced by UK manufacturers looking to improve their ESG strategies, also finds that more than three quarters (77%) of firms are receiving ESG requests from their customers, but less than half say they have the resources required to meet them, highlighting a need for greater support. 

Companies are also accelerating their ESG requirements of their suppliers, with nearly three quarters (74%) of them building ESG conditions into their procurement strategies, up from just two thirds (66%) two years ago. Yet, despite this, four in ten (45%) are not aware of their suppliers’ performance against their targets.

Raising ambitions and commitments

Manufacturers are raising their ambitions and commitments to ESG as the issue moves beyond solely environmental issues. Customers, suppliers, investors, and employees are now increasingly expecting that companies make the issue as core to their strategy as any other business objective.

Download the ESG in UK Manufacturing report

Download the ESG in UK Manufacturing report

Hear from household names and discover the findings of our survey of over 150 UK manufacturers.

Full report (PDF, 3.2MB) PDF, opens in new tab

You may be also interested in

Sustainability Line Walk

The MTC offers SME manufacturers nationwide a complimentary Sustainability Line Walk to explore how their business could make sustainability improvements, as well as identifying energy and cost saving opportunities.

Sustainability Line Walk

Sustainability voices

A video series of experts and customers discussing the opportunities and challenges facing you and your organisation’s journey to net zero. Season 5 dedicated to the Just Transition is available now.

Explore the series

Women in manufacturing: Do we need a new approach?

Championing women in manufacturing; we spoke to the women attending the ‘Changing Perceptions’ conference about improving gender representation and the benefits that brings.

Women in manufacturing

Important legal information

Lloyds Bank is a trading name of Lloyds Bank plc, Bank of Scotland plc, Lloyds Bank Corporate Markets plc and Lloyds Bank Corporate Markets Wertpapierhandelsbank GmbH.

Lloyds Bank plc. Registered Office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no. 2065. Bank of Scotland plc. Registered Office: The Mound, Edinburgh EH1 1YZ. Registered in Scotland no. SC327000. Lloyds Bank Corporate Markets plc. Registered office 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no. 10399850. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 119278, 169628 and 763256 respectively.

Lloyds Bank Corporate Markets Wertpapierhandelsbank GmbH is a wholly-owned subsidiary of Lloyds Bank Corporate Markets plc. Lloyds Bank Corporate Markets Wertpapierhandelsbank GmbH has its registered office at Thurn-und-Taxis Platz 6, 60313 Frankfurt, Germany. The company is registered with the Amtsgericht Frankfurt am Main, HRB 111650. Lloyds Bank Corporate Markets Wertpapierhandelsbank GmbH is supervised by the Bundesanstalt für Finanzdienstleistungsaufsicht.

Eligible deposits with us are protected by the Financial Services Compensation Scheme (FSCS). We are covered by the Financial Ombudsman Service (FOS). Please note that due to FSCS and FOS eligibility criteria not all business customers will be covered.

While all reasonable care has been taken to ensure that the information provided is correct, no liability is accepted by Lloyds Bank for any loss or damage caused to any person relying on any statement or omission. This is for information only and should not be relied upon as offering advice for any set of circumstances. Specific advice should always be sought in each instance.