Businesses in London are increasingly concerned about climate change and many would back carbon emissions targets for the capital, according to a new survey of employers by the CBI and KPMG released today (Monday).
Nine out of ten (88%) believe individual firms must 'do their bit' to address climate change and two-thirds (66%) support interim emissions targets for the city to help meet national aspirations for 2050.
The Government has a target to cut the UK's emissions by 60 per cent by 2050 and the Mayor of London has proposed a series of milestones for the city such as a 30 per cent reduction by 2025.
However concerns about the cost, complexity and practicality of the mayor's proposals were a concern for some businesses and 24 per cent of respondents would prefer to stick to a national policy.
Rising energy prices have also helped to focus employers' thoughts with 63 per cent saying the increases will have an adverse effect on their business over the next six months.
Reflecting this, and the increased concerns about climate change, seven out of ten (69%) have taken steps to improve their business' energy efficiency and reduce emissions.
Richard Lambert, CBI Director-General, said:
"Concern about climate change is felt by business people every bit as much as the rest of society, especially since the Stern Report laid out the risks so starkly. This survey shows that employers are already changing the way they run their companies, both to keep their energy costs down and to find new, greener, sources of supply.
"Carbon trading is an effective, market-led response to climate change which will encourage firms to go greener. While green taxes have a role to play, they can be a blunt instrument. They should be used to persuade polluters to change their behaviour, not simply be a source of revenue."
Ian Barlow, KPMG London Senior Partner, said: "There is a strong business case for all enterprises, large or small, to address all sources of emissions: from production of goods and services, including in the supply chain, through to occupation of premises and business travel.
"Investing in energy efficiency can simultaneously reduce costs and exposure to future regulatory risk. In particular, engaging with suppliers can create opportunities to re-engineer business processes for the mutual benefit of both firms. Finally I wouldn't underestimate the contribution staff can make by supporting behaviour change in their business."
The survey also revealed that:
of firms have upgraded their equipment and technology in the past year to improve energy efficiency or reduce carbon emissions; 29% have changed their heating or lighting, and 18% have changed their energy supplier.
of employers support the aim of reducing carbon emissions by a fifth through replacing existing energy sources with renewable ones, such as wind turbines or solar panels for example. A third (32%) also back decentralised energy generation schemes.
of firms are concerned about the extra cost and practicality of providing detailed energy demand and carbon emission assessments in planning applications for new developments.
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Further information:
CBI press office 020 7395 8239, out-of-hours pager 07623 977 854
KPMG press office 020 7694 8773
Notes to editors:
1. The London Business Survey is conducted twice a year to monitor the views of business on London as a place to do business; 93 businesses took part, responsible for employing around half a million employees in the capital.
2. Respondents included major companies and chief executives often filled in the questionnaire. The dominant sectors were professional services (36% of respondents), energy/ manufacturing/construction and transport (both 15%), banking/finance/insurance (10%), and distribution/retail/hotels & restaurants (8%)
The CBI is the UK's leading business organisation, speaking for some 240,000 businesses that together employ around a third of the private sector workforce. Member companies, which decide all policy positions, include: - 80 of the FTSE 100 - some 200,000 small and medium-size firms - more than 20,000 manufacturers - over 150 sectoral associations.
