Commercial Pressures Now in the Driving Seat on Sustainability

It may seem from the news and global headwinds that sustainability has been slipping down the priority list for business, but that’s not the full picture. What’s happening is that the push for progress is now coming from clients rather than regulators and governments.

There’s been a shift lately in how businesses think about ESG – Environmental, Social, and Governance – moving it from a regulatory and reporting pressure to a commercial one. What we’re seeing, especially across the UK and Ireland, is that commercial pressures are now driving companies to keep going with their sustainability efforts. Clients are pushing this straight down the line, to construction companies in particular.

It’s about relationships, not just rules

Here’s a good example. A main contractor we work with at GIRAFFE Associates recently got a letter from a major hospitality client. The message was straightforward: “We’re committed to the Science Based Targets initiative (SBTi), and we need our key suppliers to show us what they’re doing on ESG.” That means sharing the details of their own sustainability efforts and ambitions, and making sure everyone’s pulling in the same direction.

It’s not a one-off either – this kind of request is becoming more common.

Clients are setting the pace

Let’s be honest, regulation still matters. But many of the big moves are happening because clients themselves care deeply about sustainability – and they want the partners they choose to care just as much. There’s a ripple effect through the supply chain. If you’re not keeping up, you risk becoming less relevant. It’s less about ticking boxes, more about building trust and showing you’re genuinely committed.

This is happening everywhere, not just construction

While the construction sector is seeing these changes firsthand, it’s not the only one. Big UK retailers are asking their suppliers to report on carbon reduction and net zero plans and some, like Tesco, are rewarding them for their efforts.

In Ireland, banks and tech companies are putting similar expectations in place. Industry bodies have published all sorts of reports about how client expectations are fast becoming the main driver for ESG improvements. The supply chain is increasingly a hotbed for sustainability pressures and demands – exactly why we piloted our Supply Chain Sustainability programme last year to educate and engage suppliers, enabling better provision of scope 3 and wider sustainability data to support clients’ efforts.

Don’t ease off now

With all the uncertainty in the market, it might be tempting to slow down on sustainability. But actually, the case for keeping up momentum is stronger than ever. The businesses that stick with it – who keep making real progress on ESG – are the ones who’ll win trust, secure contracts, and stand out for all the right reasons. It really is becoming a commercial necessity, not just a “nice to have.”

So, what should we do?

Our advice? Don’t drop the ball on sustainability, even if you feel the pressure is off – it won’t be for long. Use this time to get your house in order, map out your impacts, start recording and measuring data and using it to inform your next steps. Make sure your clients know about your investment in sustainability, so they’ll see you’re genuine, transparent, and ready for what comes next. The world is changing, and so are the rules of business. Now is a great time to show you’re ready to change with it.

If you need help to get a plan in place or understand where to start, get in touch for an initial discussion.