UK SMEs offer local solutions to global challenges

In a time of mounting environmental pressure and geopolitical uncertainty, UK small businesses are emerging as powerful agents of change, according to a new report from Novuna Business Finance. The report, Global Local: Small Business and Sustainability in a Changing World, highlights how local enterprises are tackling global sustainability challenges with innovative, community-driven solutions.

Now in its seventh edition, the Novuna report gives voice to small and medium-sized enterprises (SMEs) across the UK, revealing how they are responding to major issues such as climate change, energy use, and waste reduction, even as they navigate rising costs, inflation, and unpredictable policy shifts.

The research shows that 55% of UK SMEs cite soaring energy costs as a primary barrier to sustainability, followed by shifting government policies (48%), inflation and interest rates (40%), global economic events (37%), and the direct impact of climate change (33%).

Despite these challenges, many businesses are not only adapting but leading the way, often motivated by the expectations of their local communities and customers. The report includes in-depth case studies of three SMEs that are making notable strides in sustainability, each featured in The Sustainable Business Podcast.

Three businesses leading the way

One example is Sea Change Wine, co-founded by Simon Rolfe. The company is reimagining how wine is packaged and distributed, cutting down on plastic and promoting ocean conservation. “It’s about people — growers, drinkers, charities — all coming together. Your glass of wine can help make a difference,” says Rolfe.

In the construction sector, Cambridge Building Services is redefining sustainable building practices. Founder Chris Howard focuses on energy-efficient design and eco-conscious restoration of historic properties. “You have to think about sustainability from the very beginning,” he says, underlining the importance of integrating green principles into every stage of design and construction.

Meanwhile, in education, BilinguaSing, led by Ellie Baker, combines community-based language lessons with a strong sustainability ethos – using low-carbon materials and digital resources. “We’re doing something small and local — but it connects to something bigger,” says Baker. “Helping families introduce their kids to other cultures from birth. That feels like a global mission.”

“These three businesses, though operating in very different sectors, share something important: they are all making a significant local impact in the communities where they live and work, while also staying mindful of global conversations and actions around climate change and net-zero goals,” said Morris.

“At Novuna Business Finance, we know that the path to sustainability looks different for every business. By sharing their experiences, we hope to offer useful insights and support others who are navigating similar decisions — through research, funding, and by giving them a platform to tell their stories.”