Going gets tough for 2050 net zero goal

The likelihood of achieving net zero by the UK government’s legally binding target of 2050 has fallen from 76% to 55%. In a further cause for concern, while 64% of businesses remain committed to achieving the target, this is a drop from 83% 12 months ago.

The figures come from the fifth British Standards Institution’s (BSI) Net Zero Barometer – a survey of 1,000 senior business leaders in the UK that also offers expert analysis.

Results show that 71% of business leaders feel the government cannot grow the UK economy while simultaneously trying to reach net zero. Furthermore, half of respondents believe that achieving net zero by 2050 is an unrealistic target, while 82% state a need for greater government support for businesses in trying to meet the target.

Cost is named as the most common challenge to achieving action, while larger businesses note issues related to complex supply chains and a lack of financing to invest in green technology.

Perhaps unsurprisingly, the issue of cost is a bigger challenge for small and medium enterprises (SMEs), with 53% reporting this, compared with 32% of larger organisations.

However, it was not all bad news – support for the transition to net zero remains high. Among respondents, 54% plan to revise their sustainability strategies in the next 12 months, while 49% are expecting to revise their net zero targets.

More than 80% of businesses have expressed interest in receiving practical help in how to achieve the target from implementation guides, case studies and advice on standards selection.

"Net zero strategies and goals are a fundamental part of corporate sustainability strategies, and those are not on the decline, as various research confirms."

Zoi Kontodimou, Chair of the CQI’s Sustainability network and an academic, corporate adviser and trainer

It is also interesting to note a shift in the reported key drivers for change: in 2024, 43%, cited the mitigation of climate-related risk; in 2025, this has slipped to 27%, with 40% of respondents naming customer demand as the driving force, followed by policy and regulatory changes (29%).

Zoi Kontodimou (pictured), Chair of the CQI’s Sustainability network and an academic, corporate adviser and trainer, said: “The business environment today is confusing for companies, which get mixed signals from governments and legislative shifts. This is in addition to greater challenges that have been faced in recent years as business practices (such as quality management practices) and trends evolve, due to the fact that supply chains are complex and never evolve without cooperation, comprehensive standards, and solid requirements.

“This business environment has led to setbacks in net zero progress – among other sustainability issues. Initiatives have slowed down, often due not to lack of strategic planning and resource allocation from larger companies, but because of the lack thereof from small and medium-sized companies in their supply chain. Not only is this reflected by the results of the NetZero Barometer survey, but it also suggests the importance of the UN’s sustainable development goal (SDG) 17, ‘partnerships for the goals’ and corporate contributions to it.

“However, net zero strategies and goals are a fundamental part of corporate sustainability strategies, and those are not on the decline, as various research confirms. According to Economist Impact, 77% of chief sustainability officers (CSOs) have increased their budgets, while Deloitte reports that 85% have raised their investments in this area. Furthermore, JP Morgan found that 88% of companies have tied sustainability goals to long-term value creation.

“With the use of normative documents and guidelines, effective corporate training, and government support – identified as essential by 82% of respondents – achieving net zero by 2050 is a feasible goal. This goal will lead to significant change and ensure compliance with the Paris Agreement, if efforts are increased and organisations are supported and focus on long-term value creation.

"These efforts could be further accelerated by the recent opinion of the International Court of Justice on the ‘Obligations of States in Respect of Climate Change’, which will hopefully increase the pace of net zero pledges and climate action.”

Sebastien Van Dort, Director of Sustainability and Energy at BSI, said: “Despite growing clarity on policy direction, this year’s Barometer shows that UK business confidence in achieving net zero is weakening. While commitment remains strong in principle, the reality is that economic pressures and shifting priorities are slowing progress across the board.

“What is promising to see here is not a loss of belief in the need for climate action, but a call for more practical support… Now is the time for industry, government and standards to work together to provide the tools and certainty needed to help every business move forward with confidence and clarity on the path to net zero.”