UK small businesses set sustainability agenda

On the run up to the General Election on July 4^th, small businesses across the UK are calling on the incoming government to prioritise sustainable and green initiatives. Research by Novuna Business Finance highlights the key demands made by small businesses.

Small businesses want help from a new government on:

• Green tax system: 38% demand a green tax system that rewards small businesses for implementing green initiatives and penalises others for ignoring them.
• Reduced business rates: 37% call for a reduction in business rates for small businesses that switch to green or renewable energy supply.
• Increased grants: 37% highlight the necessity for larger grants that fully cover the set-up costs of switching to greener energy.

Nationally, 94% of small business owners could point to specific areas where they needed help and finance concerns dominated – whether incentives, rewards for investing in green initiatives or preferable rates for funding.

More generally, small businesses were also asked what green policies they hoped for from a new government and that would inspire them to take green issues more seriously. Amongst the top responses were, reducing single-use, plastic waste, increasing recycling and reducing littering (75%) and investing more in renewable power so the vast majority of the UK’s electricity is generated from renewables by 2030 (73%) – and support also for a substantial investment into the green economy (72%).

The top 5 policies small businesses would like to see from a new Government

With a General Election called for 4thJuly, the report by Novuna Business Finance – The Small Business Perspective on Sustainability – The Mandate for Support from a new UK Government – amplifies the continued and pressing demand for clarity amongst small business owners regarding the next Government’s stance on sustainability and mission towards Net Zero.

Jo Morris, Head of Insight at Novuna Business Finance commented: “For the last three years, our research has shown the small business owners want to do more on sustainability and Net Zero, but they are looking for leadership, clarity, and consistency from the Government.

“If bold moves are made on various green policies, small businesses say it will inspire them to also do more themselves on a range of green and sustainable initiatives. And more specifically, small business owners want financial support themselves from a new government – whether this takes the form of incentives or rewards for becoming more socially and environmentally conscious businesses.

“This is not a flight of fancy; sustainable businesses are also strong businesses and good news for the UK economy.”