We will design, develop and manage places to tackle climate change, enhancing the health of the environment by achieving net zero and going beyond.

When we buy, use and re-use resources efficiently, we see big benefits.

We’re always working to minimise our impact on the environment and do our part in tackling climate change while also reducing costs, for us and our customers. By building well we are also ensuring we are more resilient to challenges caused by climate change, such as shortages of resources and changing regulations. 

We have a Company-wide Environmental and Energy Management System, with both ISO 14001 and ISO 50001 certification. ISO 14001 is an environmental management system that checks we’re compliant in things like handling hazardous substances and waste management. ISO 50001 is an energy management system that keeps us in line with the government’s Energy Savings Opportunity Scheme (ESOS) and drives energy reductions.

Build well

Decarbonising our portfolio transitioning to net zero

Targets and Metrics

Science-based carbon reduction target (SBT): achieve net zero emissions across the value chain by 2040
• Near-term target: reduce absolute Scope 1,2 and 3 GHG emissions by 47% by 2030 from a 2019/20 baseline
• Long-term target: reduce absolute Scope 1, 2 and 3 GHG emissions by 90% by 2040 from a 2019/20 baseline

2024/25 performance

33% absolute carbon reduction

Reduce average upfront embodied carbon by 50% compared with a typical building by 2030 by prioritising asset retention where possible, smart design and using sustainable materials

41% average upfront embodied carbon reduction across development pipeline

Reduce energy intensity by 52% by 2030 (for properties under our operational control for at least two years) compared with a 2019/20 baseline

23% energy intensity reduction

Source 85% of total energy (electricity, gas, heating and cooling) consumption from renewable sources by 2030

68% total energy from renewable sources

Ensure 100% of assets located in areas highly exposed to climate risks have adaptation measures in place

Assets located in areas highly exposed to physical risks continue to ensure adequate protection and mitigation plans are in place, including Business Continuity and Emergency Response Plans. This year, we partnered with Munich Re to improve the assessment of portfolio exposure to climate risks, determining that 6% of our
portfolio is exposed to combined physical risks.

Enhancing nature and green spaces

Targets and Metrics

Deliver our nature strategy and associated targets across our operational assets and development schemes measuring progress against our three principles:
• Improving biodiversity in the built environment: Biodiversity net gain (BNG)
• Promoting health, well-being and community engagement: Environmental Benefits for Nature (EBN)
• Creating nature-based solutions to mitigate and adapt to climate change: Urban Greening Factor (UGF)

2024/25 performance

100% of assets under our operational control have nature action plans in place.
• Operational assets: performance against all metrics to be reported at least every 3 years with next update due in 2026/27 and interim update on initiatives implemented in 2025/26
• Developments: performance to be reported on project completion basis
 

Using resources efficiently

Targets and Metrics

For every development, source 100% of core construction materials from ethical and sustainable sources, extending this across our full supply chain in due course

2024/25 performance

100% of core construction materials with a responsible sourcing certification

Promote reuse and circular economy principles, achieve at least 75% annual recycling rate across our portfolio and new developments, and continue sending zero operational waste to landfill. 

• Recycling across operations: 65%
• Recycling across new developments: 99.6% 
• Operational waste sent to landfill: 0%

Undertake water management assessment across assets under our operational control, ensuring water is used efficiently

This year we reviewed our approach to water focusing on areas we can have the biggest impact, based on three key principles: conservation, efficiency and protection. We are setting metrics and targets to help us monitor our performance in delivering these principles.