What is net zero? Smaller businesses don’t know

Only a quarter of SMEs understand how the term affects them, a new study claims

Big Zero Report 2023

Three-quarters of UK SMEs don’t know what ‘net zero’ means or how it applies to them.

That’s according to a study by the British Business Bank, revealing that these same companies are unsure how the terms ‘carbon-neutral’ and ‘carbon footprint’ impact them.

The analysis gauged the thoughts of 1,000 senior decision makers in smaller businesses, with more than half stating the terminology and language used around carbon reduction is too complex.

Around 61% state they would find more information and advice on this useful, with 53% wanting advice on measuring their carbon footprint.

To learn more about the terms surrounding net zero, you can watch our Net Zero 101s and if you are an SME confused on how to tackle your carbon footprint, check out the Carbon AAA platform.

Shanika Amarasekara, Chief Impact Officer at the British Business Bank, said: “Smaller businesses are far too often put off by the overcomplex ‘carbon jargon’ that comes with reducing emissions.

“By helping decipher some of the terminology around decarbonisation the British Business Bank hopes to show smaller businesses that simple, incremental changes, such as switching off equipment when not in use can make a difference in their net zero transition.”

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