ESG Compliance: Why It Matters (Even If No One’s Forcing You)

When people talk about ESG compliance, they usually mean meeting formal reporting obligations: the government wants big businesses (think listed companies and large PLCs) to show what they’re doing to reduce emissions, use renewables, and treat the planet and people a bit better.

If you’re a large company – specifically a UK company that meets two or more of the following criteria: over 250 employees, £36 million or more in annual turnover, or £18 million or more in total assets – then you have to disclose your energy use and ESG-related information under the Streamlined Energy and Carbon Reporting (SECR) framework. This applies to quoted companies, large unquoted companies, and large LLPs. HMRC and Companies House require this data in your filings.

Public interest entities (like listed companies, banks, and insurers) are also subject to wider ESG reporting standards, particularly around climate-related financial disclosures (TCFD-aligned reporting) which is being gradually expanded to include more large companies and financial institutions.

What About B Corp Certified Companies?

If you’re a B Corp (Certified B Corporation), ESG isn’t just a nice-to-have – it’s central to your business model. B Corps are required to measure, manage, and publicly report on their social and environmental performance. This includes specific tracking and reporting around energy use, carbon emissions, and environmental impact.

The B Impact Assessment – the tool all B Corps use to certify and recertify – evaluates how your operations and business model impact workers, community, environment, and customers. Energy efficiency, renewable energy usage, carbon footprint reduction, and climate commitments are all key factors. Public transparency is a core requirement, meaning B Corps must publish certain performance metrics and impact reports.

Becoming (and staying) a B Corp means committing to continuous improvement, including clear, credible energy and environmental data reporting. Even small businesses pursuing B Corp status must engage seriously with their energy consumption and carbon strategies.

Even if you’re a small or mid-sized business, ESG is creeping into your world. Why? Because bigger companies need to report not just on their own operations, but increasingly on their supply chains too. That means they’re leaning on you – their suppliers – to show you’re doing your bit.

We’re seeing it across the board: businesses being asked to evidence how they’re moving towards renewable energy, how they’re managing carbon, how they’re planning to be “better.” It’s no longer just about ticking a box; it’s about winning (and keeping) customers.

Staff, Stakeholders, and Common Sense

There’s another reason ESG matters: people care. Your staff, your future recruits, your customers, and even your investors – they’re interested in how you’re showing up on climate and sustainability.

Electric vehicle (EV) salary sacrifice schemes have exploded because employees want to drive cleaner cars – and businesses want to offer attractive benefits. Even smaller companies are installing EV chargers and switching to green tariffs. Why? Because it just makes sense.

So How Do You Build an ESG “Strategy” Without Hiring a Team of Consultants?

You don’t need a 100-page “strategy” document that nobody reads. What you need is a plan.

Start with simple wins:

  • Optimise your energy consumption (yes, LEDs are a start, but don’t stop there).
  • Buy renewable energy from suppliers who can prove it.
  • Explore on-site generation like solar panels.
  • Consider battery storage to manage your energy costs and green your supply.
  • Plan EV charging installations smartly inside your energy footprint.

These steps aren’t just window dressing. They can save you real money. They show leadership. And they give you a genuine story to tell when customers, staff, or tender documents come knocking.

At Vester, we believe in action over paperwork. It’s not enough to say you’ve got a plan – you need to do something.

That’s why we help businesses move from “we really should think about ESG” to “here’s what we’ve done – and here’s what it saved us.” We make sure your lighting isn’t just LED but smart. That your solar system is actually performing. That your EV charge points fit your energy strategy, not wreck it.

You don’t need to do everything overnight. You just need to start.

Need a hand?
Let’s build your plan.
Then let’s deliver it.